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A O Smith Corp (NYSE:AOS)
EV/EBITDA
12.41 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, A O Smith Corp's enterprise value is $5,425 Mil. A O Smith Corp's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2015 was $437 Mil. Therefore, A O Smith Corp's EV/EBITDA ratio for today is 12.41.

AOS' s EV/EBITDA Range Over the Past 10 Years
Min: 3   Max: 19.8
Current: 12.39

3
19.8

During the past 13 years, the highest EV/EBITDA Ratio of A O Smith Corp was 19.80. The lowest was 3.00. And the median was 9.30.

AOS's EV/EBITDA is ranked lower than
61% of the 2129 Companies
in the Global Diversified Industrials industry.

( Industry Median: 9.48 vs. AOS: 12.39 )

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, A O Smith Corp's stock price is $65.56. A O Smith Corp's earnings per share for the trailing twelve months (TTM) ended in Sep. 2015 was $2.85. Therefore, A O Smith Corp's P/E Ratio for today is 23.00.

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


Definition

A O Smith Corp's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=5425.021/437.2
=12.41

A O Smith Corp's current Enterprise Value is $5,425 Mil.
A O Smith Corp's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2015 was 90.7 (Dec. 2014 ) + 100.3 (Mar. 2015 ) + 121.7 (Jun. 2015 ) + 124.5 (Sep. 2015 ) = $437 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.

A O Smith Corp's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=65.56/2.85
=23.00

A O Smith Corp's share price for today is $65.56.
A O Smith Corp's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2015 was 0.59 (Dec. 2014 ) + 0.65 (Mar. 2015 ) + 0.79 (Jun. 2015 ) + 0.82 (Sep. 2015 ) = $2.85.

* 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.

A O Smith Corp Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ev2ebitda 8.217.276.146.8414.497.699.0615.3313.420.00

A O Smith Corp Quarterly Data

Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15
ev2ebitda 13.3615.3313.3513.6512.5813.4215.0915.4812.550.00
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