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Devon Energy Corp (NYSE:DVN)
EV/EBITDA
4.74 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Devon Energy Corp's enterprise value is $37,032 Mil. Devon Energy Corp's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2014 was $7,811 Mil. Therefore, Devon Energy Corp's EV/EBITDA ratio for today is 4.74.

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, Devon Energy Corp's stock price is $58.47. Devon Energy Corp's earnings per share for the trailing twelve months (TTM) ended in Sep. 2014 was $5.40. Therefore, Devon Energy Corp's P/E Ratio for today is 10.84.

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


Definition

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

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=37032.300/7811
=4.74

Devon Energy Corp's current Enterprise Value is $37,032 Mil.
Devon Energy Corp's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2014 was 1291 (Dec. 2013 ) + 1408 (Mar. 2014 ) + 2504 (Jun. 2014 ) + 2608 (Sep. 2014 ) = $7,811 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=58.47/5.395
=10.84

Devon Energy Corp's share price for today is $58.47.
Devon Energy Corp's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2014 was 0.495 (Dec. 2013 ) + 0.79 (Mar. 2014 ) + 1.64 (Jun. 2014 ) + 2.47 (Sep. 2014 ) = $5.40.

* 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.

Devon Energy Corp Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebitda 4.034.705.646.09-56.73-19.076.234.039.019.29

Devon Energy Corp Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ev2ebitda 4.106.979.0184.2444.8912.339.297.687.205.34
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