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Finisar Corp (NAS:FNSR)
EV/EBITDA
12.76 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Finisar Corp's enterprise value is $1,592 Mil. Finisar Corp's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Apr. 2015 was $125 Mil. Therefore, Finisar Corp's EV/EBITDA ratio for today is 12.76.

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, Finisar Corp's stock price is $17.95. Finisar Corp's earnings per share for the trailing twelve months (TTM) ended in Apr. 2015 was $0.12. Therefore, Finisar Corp's P/E Ratio for today is 152.12.

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


Definition

Finisar Corp's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=1592.394/124.777
=12.76

Finisar Corp's current Enterprise Value is $1,592 Mil.
Finisar Corp's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Apr. 2015 was 40.989 (Jul. 2014 ) + 16.009 (Oct. 2014 ) + 29.316 (Jan. 2015 ) + 38.463 (Apr. 2015 ) = $125 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=17.95/0.118
=152.12

Finisar Corp's share price for today is $17.95.
Finisar Corp's Earnings Per Share for the trailing twelve months (TTM) ended in Apr. 2015 was 0.14 (Jul. 2014 ) + -0.11 (Oct. 2014 ) + 0.02 (Jan. 2015 ) + 0.068 (Apr. 2015 ) = $0.12.

* 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.

Finisar Corp Annual Data

Apr06Apr07Apr08Apr09Apr10Apr11Apr12Apr13Apr14Apr15
ev2ebitda 36.10110.60-34.82-2.0448.6915.7712.6516.3112.0114.81

Finisar Corp Quarterly Data

Jan13Apr13Jul13Oct13Jan14Apr14Jul14Oct14Jan15Apr15
ev2ebitda 16.4816.3117.3115.7212.6912.019.209.3011.8914.81
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