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ARC Document Solutions Inc (NYSE:ARC)
EV/EBITDA
8.32 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, ARC Document Solutions Inc's enterprise value is $532.3 Mil. ARC Document Solutions Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Dec. 2014 was $64.0 Mil. Therefore, ARC Document Solutions Inc's EV/EBITDA ratio for today is 8.32.

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, ARC Document Solutions Inc's stock price is $8.44. ARC Document Solutions Inc's earnings per share for the trailing twelve months (TTM) ended in Dec. 2014 was $0.16. Therefore, ARC Document Solutions Inc's P/E Ratio for today is 52.75.

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


Definition

ARC Document Solutions Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=532.285/63.977
=8.32

ARC Document Solutions Inc's current Enterprise Value is $532.3 Mil.
ARC Document Solutions Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Dec. 2014 was 14.34 (Mar. 2014 ) + 17.682 (Jun. 2014 ) + 16.92 (Sep. 2014 ) + 15.035 (Dec. 2014 ) = $64.0 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.

ARC Document Solutions Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=8.44/0.16
=52.75

ARC Document Solutions Inc's share price for today is $8.44.
ARC Document Solutions Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Dec. 2014 was 0.03 (Mar. 2014 ) + 0.1 (Jun. 2014 ) + 0.08 (Sep. 2014 ) + -0.05 (Dec. 2014 ) = $0.16.

* 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.

ARC Document Solutions Inc Annual Data

Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebitda 0.000.000.000.0012.1619.42-126.517.888.869.97

ARC Document Solutions Inc Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
ev2ebitda 8.897.888.399.526.608.868.467.218.589.97
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