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Alere Inc (NYSE:ALR)
EV/EBITDA
16.52 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Alere Inc's enterprise value is $8,189 Mil. Alere Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Jun. 2015 was $496 Mil. Therefore, Alere Inc's EV/EBITDA ratio for today is 16.52.

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, Alere Inc's stock price is $51.89. Alere Inc's earnings per share for the trailing twelve months (TTM) ended in Jun. 2015 was $2.61. Therefore, Alere Inc's P/E Ratio for today is 19.90.

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


Definition

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

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=8188.827/495.788
=16.52

Alere Inc's current Enterprise Value is $8,189 Mil.
Alere Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Jun. 2015 was 110.379 (Sep. 2014 ) + 116.164 (Dec. 2014 ) + 100.505 (Mar. 2015 ) + 168.74 (Jun. 2015 ) = $496 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=51.89/2.607
=19.90

Alere Inc's share price for today is $51.89.
Alere Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Jun. 2015 was -1.25 (Sep. 2014 ) + 1.267 (Dec. 2014 ) + 2.42 (Mar. 2015 ) + 0.17 (Jun. 2015 ) = $2.61.

* 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.

Alere Inc Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebitda 23.6930.11-80.4910.7312.67-10.4812.639.5112.2816.46

Alere Inc Quarterly Data

Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15
ev2ebitda 11.1510.8212.1412.2812.1014.4615.0416.4618.2616.65
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