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Devon Energy Corp (NYSE:DVN)
EV/EBITDA
5.32 (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 $41,799 Mil. Devon Energy Corp's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Dec. 2014 was $7,854 Mil. Therefore, Devon Energy Corp's EV/EBITDA ratio for today is 5.32.

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 $65.92. Devon Energy Corp's earnings per share for the trailing twelve months (TTM) ended in Dec. 2014 was $3.90. Therefore, Devon Energy Corp's P/E Ratio for today is 16.90.

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)
=41798.938/7854
=5.32

Devon Energy Corp's current Enterprise Value is $41,799 Mil.
Devon Energy Corp's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Dec. 2014 was 1408 (Mar. 2014 ) + 2504 (Jun. 2014 ) + 2608 (Sep. 2014 ) + 1334 (Dec. 2014 ) = $7,854 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)
=65.92/3.9
=16.90

Devon Energy Corp's share price for today is $65.92.
Devon Energy Corp's Earnings Per Share for the trailing twelve months (TTM) ended in Dec. 2014 was 0.79 (Mar. 2014 ) + 1.64 (Jun. 2014 ) + 2.47 (Sep. 2014 ) + -1 (Dec. 2014 ) = $3.90.

* 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

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebitda 4.705.646.09-56.73-19.076.234.039.019.315.05

Devon Energy Corp Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
ev2ebitda 6.979.0184.2444.8912.339.317.697.205.275.05
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