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Fortune Brands Home & Security Inc (NYSE:FBHS)
EV/EBITDA
14.51 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Fortune Brands Home & Security Inc's enterprise value is $216 Mil. Fortune Brands Home & Security Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Jun. 2014 was $489 Mil. Therefore, Fortune Brands Home & Security Inc's EV/EBITDA ratio for today is 14.51.

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, Fortune Brands Home & Security Inc's stock price is $43.25. Fortune Brands Home & Security Inc's earnings per share for the trailing twelve months (TTM) ended in Jun. 2014 was $1.53. Therefore, Fortune Brands Home & Security Inc's P/E Ratio for today is 28.50.

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


Definition

Fortune Brands Home & Security Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=215.532/488.5
=0.44

Fortune Brands Home & Security Inc's current Enterprise Value is $216 Mil.
Fortune Brands Home & Security Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Jun. 2014 was 122.5 (Sep. 2013 ) + 120 (Dec. 2013 ) + 86.1 (Mar. 2014 ) + 159.9 (Jun. 2014 ) = $489 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.

Fortune Brands Home & Security Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=43.25/1.531
=28.25

Fortune Brands Home & Security Inc's share price for today is $43.25.
Fortune Brands Home & Security Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Jun. 2014 was 0.37 (Sep. 2013 ) + 0.373 (Dec. 2013 ) + 0.24 (Mar. 2014 ) + 0.548 (Jun. 2014 ) = $1.53.

* 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.

Fortune Brands Home & Security Inc Annual Data

Dec09Dec10Dec11Dec12Dec13
ev2ebitda 0.000.000.000.000.000.000.0031.2918.1117.73

Fortune Brands Home & Security Inc Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ev2ebitda 33.7027.8818.1121.2220.7420.1717.7316.7314.740.00
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