Switch to:
Forest City Enterprises Inc (NYSE:FCE.A)
EV/EBITDA
19.20 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Forest City Enterprises Inc's enterprise value is $8,967 Mil. Forest City Enterprises Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2014 was $467 Mil. Therefore, Forest City Enterprises Inc's EV/EBITDA ratio for today is 19.20.

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, Forest City Enterprises Inc's stock price is $21.05. Forest City Enterprises Inc's earnings per share for the trailing twelve months (TTM) ended in Sep. 2014 was $0.28. Therefore, Forest City Enterprises Inc's P/E Ratio for today is 75.18.

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


Definition

Forest City Enterprises Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=8966.519/467.062
=19.20

Forest City Enterprises Inc's current Enterprise Value is $8,967 Mil.
Forest City Enterprises Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2014 was 345.516 (Oct. 2013 ) + 87.181 (Mar. 2014 ) + -56.629 (Jun. 2014 ) + 90.994 (Sep. 2014 ) = $467 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.

Forest City Enterprises Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=21.05/0.28
=75.18

Forest City Enterprises Inc's share price for today is $21.05.
Forest City Enterprises Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2014 was 0.67 (Oct. 2013 ) + 0.08 (Mar. 2014 ) + -0.47 (Jun. 2014 ) + 0 (Sep. 2014 ) = $0.28.

* 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.

Forest City Enterprises Inc Annual Data

Jan04Jan05Jan06Jan07Jan08Jan09Jan10Jan11Jan12Jan13
ev2ebitda 21.9220.7819.5025.0420.2417.4517.8415.1525.3524.49

Forest City Enterprises Inc Quarterly Data

Jul12Oct12Jan13Mar13Apr13Jul13Oct13Mar14Jun14Sep14
ev2ebitda 30.0835.2724.499.1927.3724.7614.3513.6617.5618.56
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK