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Array BioPharma Inc (NAS:ARRY)
EV/EBITDA
-5.63 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Array BioPharma Inc's enterprise value is $490.74 Mil. Array BioPharma Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2014 was $-83.05 Mil. Therefore, Array BioPharma Inc's EV/EBITDA ratio for today is -5.63.

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, Array BioPharma Inc's stock price is $3.76. Array BioPharma Inc's earnings per share for the trailing twelve months (TTM) ended in Sep. 2014 was $-0.76. Therefore, Array BioPharma Inc's P/E Ratio for today is 0.00.

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


Definition

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

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=490.743/-83.049
=-5.91

Array BioPharma Inc's current Enterprise Value is $490.74 Mil.
Array BioPharma Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2014 was -12.73 (Dec. 2013 ) + -21.274 (Mar. 2014 ) + -24.837 (Jun. 2014 ) + -24.208 (Sep. 2014 ) = $-83.05 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=3.76/-0.763
=

Array BioPharma Inc's share price for today is $3.76.
Array BioPharma Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2014 was -0.13 (Dec. 2013 ) + -0.2 (Mar. 2014 ) + -0.223 (Jun. 2014 ) + -0.21 (Sep. 2014 ) = $-0.76.

* 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.

Array BioPharma Inc Annual Data

Jun05Jun06Jun07Jun08Jun09Jun10Jun11Jun12Jun13Jun14
ev2ebitda -9.61-8.55-8.03-2.12-1.74-2.95-5.58-39.25-10.98-8.36

Array BioPharma Inc Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ev2ebitda -39.25-34.18-15.86-15.08-10.98-14.08-10.75-9.74-8.36-5.95
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