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ARRIS Group Inc (NAS:ARRS)
EV/EBITDA
8.40 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, ARRIS Group Inc's enterprise value is $4,902 Mil. ARRIS Group Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Jun. 2015 was $583 Mil. Therefore, ARRIS Group Inc's EV/EBITDA ratio for today is 8.40.

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, ARRIS Group Inc's stock price is $26.82. ARRIS Group Inc's earnings per share for the trailing twelve months (TTM) ended in Jun. 2015 was $1.90. Therefore, ARRIS Group Inc's P/E Ratio for today is 14.09.

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


Definition

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

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=4902.016/583.369
=8.40

ARRIS Group Inc's current Enterprise Value is $4,902 Mil.
ARRIS Group Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Jun. 2015 was 190.987 (Sep. 2014 ) + 145.681 (Dec. 2014 ) + 115.383 (Mar. 2015 ) + 131.318 (Jun. 2015 ) = $583 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=26.82/1.903
=14.09

ARRIS Group Inc's share price for today is $26.82.
ARRIS Group Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Jun. 2015 was 0.37 (Sep. 2014 ) + 1.293 (Dec. 2014 ) + 0.13 (Mar. 2015 ) + 0.11 (Jun. 2015 ) = $1.90.

* 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.

ARRIS Group Inc Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebitda 13.209.387.85-17.124.925.4720.199.2920.928.46

ARRIS Group Inc Quarterly Data

Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15
ev2ebitda 12.5342.7128.0320.9215.4811.248.428.468.259.31
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