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Capital Southwest Corporation (NAS:CSWC)
EV/EBITDA
123.73 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Capital Southwest Corporation's enterprise value is $484.75 Mil. Capital Southwest Corporation's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Jun. 2014 was $3.87 Mil. Therefore, Capital Southwest Corporation's EV/EBITDA ratio for today is 123.73.

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, Capital Southwest Corporation's stock price is $36.72. Capital Southwest Corporation's earnings per share for the trailing twelve months (TTM) ended in Jun. 2014 was $7.94. Therefore, Capital Southwest Corporation's P/E Ratio for today is 4.60.

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


Definition

Capital Southwest Corporation's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=484.748/3.874
=125.13

Capital Southwest Corporation's current Enterprise Value is $484.75 Mil.
Capital Southwest Corporation's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Jun. 2014 was -1.22 (Sep. 2013 ) + 5.565 (Dec. 2013 ) + 1.077 (Mar. 2014 ) + -1.548 (Jun. 2014 ) = $3.87 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.

Capital Southwest Corporation's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=36.72/7.944
=4.62

Capital Southwest Corporation's share price for today is $36.72.
Capital Southwest Corporation's Earnings Per Share for the trailing twelve months (TTM) ended in Jun. 2014 was 2.91 (Sep. 2013 ) + 3.898 (Dec. 2013 ) + -0.143 (Mar. 2014 ) + 1.279 (Jun. 2014 ) = $7.94.

* 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.

Capital Southwest Corporation Annual Data

Mar05Mar06Mar07Mar08Mar09Mar10Mar11Mar12Mar13Mar14
ev2ebitda 21.8512.26129.81116.6326.18165.28152.18107.98140.97106.96

Capital Southwest Corporation Quarterly Data

Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14
ev2ebitda 107.98120.56143.15138.78140.97366.904,241.71298.27106.96120.49
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