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Fabrinet (NYSE:FN)
EV/EBITDA
3.97 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Fabrinet's enterprise value is $384.9 Mil. Fabrinet's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2014 was $96.9 Mil. Therefore, Fabrinet's EV/EBITDA ratio for today is 3.97.

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, Fabrinet's stock price is $17.40. Fabrinet's earnings per share for the trailing twelve months (TTM) ended in Sep. 2014 was $2.34. Therefore, Fabrinet's P/E Ratio for today is 7.44.

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


Definition

Fabrinet's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=384.904/96.868
=3.97

Fabrinet's current Enterprise Value is $384.9 Mil.
Fabrinet's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2014 was 15.898 (Dec. 2013 ) + 51.237 (Mar. 2014 ) + 14.685 (Jun. 2014 ) + 15.048 (Sep. 2014 ) = $96.9 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.

Fabrinet's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=17.40/2.338
=7.44

Fabrinet's share price for today is $17.40.
Fabrinet's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2014 was 0.41 (Dec. 2013 ) + 1.33 (Mar. 2014 ) + 0.288 (Jun. 2014 ) + 0.31 (Sep. 2014 ) = $2.34.

* 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.

Fabrinet Annual Data

Jun06Jun07Jun08Jun09Jun10Jun11Jun12Jun13Jun14
ev2ebitda 0.000.000.000.000.005.229.17-7.364.384.84

Fabrinet Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ev2ebitda -7.36-6.7860.155.064.385.216.924.794.843.01
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