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Entropic Communications Inc (NAS:ENTR)
EV/EBITDA
-2.33 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Entropic Communications Inc's enterprise value is $182.5 Mil. Entropic Communications Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Dec. 2014 was $-78.5 Mil. Therefore, Entropic Communications Inc's EV/EBITDA ratio for today is -2.33.

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, Entropic Communications Inc's stock price is $3.06. Entropic Communications Inc's earnings per share for the trailing twelve months (TTM) ended in Dec. 2014 was $-1.09. Therefore, Entropic Communications Inc's P/E Ratio for today is .

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


Definition

Entropic Communications Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=182.501/-78.484
=-2.33

Entropic Communications Inc's current Enterprise Value is $182.5 Mil.
Entropic Communications Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Dec. 2014 was -18.257 (Mar. 2014 ) + -16.949 (Jun. 2014 ) + -22.894 (Sep. 2014 ) + -20.384 (Dec. 2014 ) = $-78.5 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.

Entropic Communications Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=3.06/-1.09
=

Entropic Communications Inc's share price for today is $3.06.
Entropic Communications Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Dec. 2014 was -0.26 (Mar. 2014 ) + -0.24 (Jun. 2014 ) + -0.31 (Sep. 2014 ) + -0.28 (Dec. 2014 ) = $-1.09.

* 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.

Entropic Communications Inc Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebitda 0.000.00-50.060.00-21.9922.867.3214.82-15.77-1.67

Entropic Communications Inc Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
ev2ebitda 15.6714.8217.9638.43-41.44-15.77-7.08-4.05-2.21-1.67
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