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Analog Devices Inc (NAS:ADI)
EV/EBITDA
11.30 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Analog Devices Inc's enterprise value is $11,457 Mil. Analog Devices Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Jul. 2014 was $1,014 Mil. Therefore, Analog Devices Inc's EV/EBITDA ratio for today is 11.30.

EV/EBITDA (Enterprise value/EBITDA) is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the P/E Ratio to determine the fair market value of a company.

As of today, Analog Devices Inc's stock price is $48.99. Analog Devices Inc's earnings per share for the trailing twelve months (TTM) ended in Jul. 2014 was $2.28. Therefore, Analog Devices Inc's P/E Ratio for today is 21.50.

The "classic" EV/EBITDA ratio is much better in capturing debt and net cash than the P/E Ratio.


Definition

Analog Devices Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=11456.514/1013.878
=11.30

Analog Devices Inc's current Enterprise Value is $11,457 Mil.
Analog Devices Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Jul. 2014 was 316.741 (Oct. 2013 ) + 209.852 (Jan. 2014 ) + 251.756 (Apr. 2014 ) + 235.529 (Jul. 2014 ) = $1,014 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

EV/EBITDA (Enterprise value/EBITDA) is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the P/E Ratio to determine the fair market value of a company.

Analog Devices Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=48.99/2.275
=21.53

Analog Devices Inc's share price for today is $48.99.
Analog Devices Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Jul. 2014 was 0.635 (Oct. 2013 ) + 0.48 (Jan. 2014 ) + 0.59 (Apr. 2014 ) + 0.57 (Jul. 2014 ) = $2.28.

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Study has found that the companies with the lowest EV/EBITDA outperforms companies measured as cheap by other ratios such as P/E Ratio.

Please read Which price ratio outperforms the enterprise multiple?


Related Terms

Enterprise Value, Earnings Before Depreciation and Amortization, P/E Ratio


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Analog Devices Inc Annual Data

Oct04Oct05Oct06Oct07Oct08Oct09Oct10Oct11Oct12Oct13
ev2ebitda 14.0514.6412.5412.396.3113.697.526.839.1712.08

Analog Devices Inc Quarterly Data

Apr12Jul12Oct12Jan13Apr13Jul13Oct13Jan14Apr14Jul14
ev2ebitda 8.439.059.1711.0211.3313.3312.0811.5512.0713.34
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