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Aspen Technology Inc (NAS:AZPN)
EV/EBITDA
15.84 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Aspen Technology Inc's enterprise value is $2,941.0 Mil. Aspen Technology Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Jun. 2015 was $185.7 Mil. Therefore, Aspen Technology Inc's EV/EBITDA ratio for today is 15.84.

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, Aspen Technology Inc's stock price is $37.61. Aspen Technology Inc's earnings per share for the trailing twelve months (TTM) ended in Jun. 2015 was $1.34. Therefore, Aspen Technology Inc's P/E Ratio for today is 28.09.

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


Definition

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

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=2941.001/185.717
=15.84

Aspen Technology Inc's current Enterprise Value is $2,941.0 Mil.
Aspen Technology Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Jun. 2015 was 46.309 (Sep. 2014 ) + 47.911 (Dec. 2014 ) + 44.025 (Mar. 2015 ) + 47.472 (Jun. 2015 ) = $185.7 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=37.61/1.339
=28.09

Aspen Technology Inc's share price for today is $37.61.
Aspen Technology Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Jun. 2015 was 0.32 (Sep. 2014 ) + 0.34 (Dec. 2014 ) + 0.32 (Mar. 2015 ) + 0.359 (Jun. 2015 ) = $1.34.

* 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.

Aspen Technology Inc Annual Data

Jun06Jun07Jun08Jun09Jun10Jun11Jun12Jun13Jun14Jun15
ev2ebitda 10.4714.0621.3310.32-11.15-44.94-354.3839.7529.7919.56

Aspen Technology Inc Quarterly Data

Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15
ev2ebitda 63.5739.7538.9737.4332.7029.7920.4517.4417.5319.56
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