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Freeport-McMoRan Copper & Gold (NYSE:FCX)
EV/EBITDA
6.53 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Freeport-McMoRan Copper & Gold's enterprise value is $52,999 Mil. Freeport-McMoRan Copper & Gold's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Dec. 2013 was $8,148 Mil. Therefore, Freeport-McMoRan Copper & Gold's EV/EBITDA ratio for today is 6.53.

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, Freeport-McMoRan Copper & Gold's stock price is $33.13. Freeport-McMoRan Copper & Gold's earnings per share for the trailing twelve months (TTM) ended in Dec. 2013 was $2.64. Therefore, Freeport-McMoRan Copper & Gold's P/E Ratio for today is 12.50.

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


Definition

Freeport-McMoRan Copper & Gold's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=52999.178/8148
=6.50

Freeport-McMoRan Copper & Gold's current Enterprise Value is $52,999 Mil.
Freeport-McMoRan Copper & Gold's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Dec. 2013 was 1684 (Mar. 2013 ) + 1169 (Jun. 2013 ) + 2626 (Sep. 2013 ) + 2669 (Dec. 2013 ) = $8,148 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.

Freeport-McMoRan Copper & Gold's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=33.13/2.637
=12.56

Freeport-McMoRan Copper & Gold's share price for today is $33.13.
Freeport-McMoRan Copper & Gold's Earnings Per Share for the trailing twelve months (TTM) ended in Dec. 2013 was 0.68 (Mar. 2013 ) + 0.49 (Jun. 2013 ) + 0.79 (Sep. 2013 ) + 0.677 (Dec. 2013 ) = $2.64.

* 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.

Freeport-McMoRan Copper & Gold Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebitda 10.184.823.886.250.005.675.983.605.157.63

Freeport-McMoRan Copper & Gold Quarterly Data

Sep11Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13
ev2ebitda 2.523.604.504.555.945.155.378.108.017.63
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