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Goodyear Tire & Rubber Co (NAS:GT)
EV/EBITDA
8.58 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Goodyear Tire & Rubber Co's enterprise value is $13,651 Mil. Goodyear Tire & Rubber Co's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Jun. 2016 was $1,591 Mil. Therefore, Goodyear Tire & Rubber Co's EV/EBITDA ratio for today is 8.58.

GT' s EV/EBITDA Range Over the Past 10 Years
Min: 3.5   Max: 100.2
Current: 8.58

3.5
100.2

During the past 13 years, the highest EV/EBITDA Ratio of Goodyear Tire & Rubber Co was 100.20. The lowest was 3.50. And the median was 5.90.

GT's EV/EBITDA is ranked higher than
55% of the 1081 Companies
in the Global Rubber & Plastics industry.

( Industry Median: 9.60 vs. GT: 8.58 )

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, Goodyear Tire & Rubber Co's stock price is $31.73. Goodyear Tire & Rubber Co's earnings per share for the trailing twelve months (TTM) ended in Jun. 2016 was $1.01. Therefore, Goodyear Tire & Rubber Co's P/E Ratio for today is 31.42.

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


Definition

Goodyear Tire & Rubber Co's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=13651.481/1591
=8.58

Goodyear Tire & Rubber Co's current Enterprise Value is $13,651 Mil.
Goodyear Tire & Rubber Co's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Jun. 2016 was 706 (Sep. 2015 ) + -233 (Dec. 2015 ) + 532 (Mar. 2016 ) + 586 (Jun. 2016 ) = $1,591 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.

Goodyear Tire & Rubber Co's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=31.73/1.01
=31.42

Goodyear Tire & Rubber Co's share price for today is $31.73.
Goodyear Tire & Rubber Co's Earnings Per Share for the trailing twelve months (TTM) ended in Jun. 2016 was 0.99 (Sep. 2015 ) + -1.41 (Dec. 2015 ) + 0.68 (Mar. 2016 ) + 0.75 (Jun. 2016 ) = $1.01.

* 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.

Goodyear Tire & Rubber Co Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ev2ebitda 8.016.174.0810.626.044.014.685.156.587.66

Goodyear Tire & Rubber Co Quarterly Data

Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16
ev2ebitda 6.686.795.856.585.465.675.227.668.647.58
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