Switch to:
Cato Corp (NYSE:CATO)
EV/EBITDA
5.66 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Cato Corp's enterprise value is $693 Mil. Cato Corp's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Apr. 2016 was $122 Mil. Therefore, Cato Corp's EV/EBITDA ratio for today is 5.66.

CATO' s EV/EBITDA Range Over the Past 10 Years
Min: 3   Max: 8.6
Current: 5.66

3
8.6

During the past 13 years, the highest EV/EBITDA Ratio of Cato Corp was 8.60. The lowest was 3.00. And the median was 5.20.

CATO's EV/EBITDA is ranked higher than
81% of the 929 Companies
in the Global Apparel Stores industry.

( Industry Median: 10.86 vs. CATO: 5.66 )

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, Cato Corp's stock price is $35.86. Cato Corp's earnings per share for the trailing twelve months (TTM) ended in Apr. 2016 was $2.58. Therefore, Cato Corp's P/E Ratio for today is 13.93.

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


Definition

Cato Corp's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=693.390/122.488
=5.66

Cato Corp's current Enterprise Value is $693 Mil.
Cato Corp's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Apr. 2016 was 29.675 (Jul. 2015 ) + 14.545 (Oct. 2015 ) + 25.339 (Jan. 2016 ) + 52.929 (Apr. 2016 ) = $122 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.

Cato Corp's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=35.86/2.575
=13.93

Cato Corp's share price for today is $35.86.
Cato Corp's Earnings Per Share for the trailing twelve months (TTM) ended in Apr. 2016 was 0.56 (Jul. 2015 ) + 0.3 (Oct. 2015 ) + 0.425 (Jan. 2016 ) + 1.29 (Apr. 2016 ) = $2.58.

* 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.

Cato Corp Annual Data

Jan07Jan08Jan09Jan10Jan11Jan12Jan13Jan14Jan15Jan16
ev2ebitda 6.065.133.334.704.214.405.055.438.176.88

Cato Corp Quarterly Data

Jan14Apr14Jul14Oct14Jan15Apr15Jul15Oct15Jan16Apr16
ev2ebitda 5.435.305.717.018.177.336.966.806.885.83
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
FEEDBACK