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Genpact Ltd (NYSE:G)
EV/EBITDA
12.41 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Genpact Ltd's enterprise value is $4,546 Mil. Genpact Ltd's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2014 was $366 Mil. Therefore, Genpact Ltd's EV/EBITDA ratio for today is 12.41.

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, Genpact Ltd's stock price is $19.05. Genpact Ltd's earnings per share for the trailing twelve months (TTM) ended in Sep. 2014 was $0.85. Therefore, Genpact Ltd's P/E Ratio for today is 22.54.

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


Definition

Genpact Ltd's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=4546.009/366.335
=12.41

Genpact Ltd's current Enterprise Value is $4,546 Mil.
Genpact Ltd's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2014 was 89.205 (Dec. 2013 ) + 93.261 (Mar. 2014 ) + 92.314 (Jun. 2014 ) + 91.555 (Sep. 2014 ) = $366 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=19.05/0.845
=22.54

Genpact Ltd's share price for today is $19.05.
Genpact Ltd's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2014 was 0.205 (Dec. 2013 ) + 0.21 (Mar. 2014 ) + 0.22 (Jun. 2014 ) + 0.21 (Sep. 2014 ) = $0.85.

* 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.

Genpact Ltd Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebitda 0.000.000.0018.206.0311.8211.009.3710.1610.79

Genpact Ltd Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ev2ebitda 9.2611.0610.1611.5112.4010.6510.7910.3110.6810.77
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