Switch to:
Health Net Inc (NYSE:HNT)
EV/EBITDA
5.39 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Health Net Inc's enterprise value is $2,272 Mil. Health Net Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2015 was $422 Mil. Therefore, Health Net Inc's EV/EBITDA ratio for today is 5.39.

HNT' s EV/EBITDA Range Over the Past 10 Years
Min: -2.1   Max: 22.2
Current: 5.35

-2.1
22.2

During the past 13 years, the highest EV/EBITDA Ratio of Health Net Inc was 22.20. The lowest was -2.10. And the median was 5.70.

HNT's EV/EBITDA is ranked higher than
83% of the 42 Companies
in the Global Health Care Plans industry.

( Industry Median: 7.94 vs. HNT: 5.35 )

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, Health Net Inc's stock price is $62.83. Health Net Inc's earnings per share for the trailing twelve months (TTM) ended in Sep. 2015 was $1.96. Therefore, Health Net Inc's P/E Ratio for today is 32.02.

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


Definition

Health Net Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=2271.863/421.636
=5.39

Health Net Inc's current Enterprise Value is $2,272 Mil.
Health Net Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2015 was 28.208 (Dec. 2014 ) + 80.065 (Mar. 2015 ) + 144.716 (Jun. 2015 ) + 168.647 (Sep. 2015 ) = $422 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.

Health Net Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=62.83/1.962
=32.02

Health Net Inc's share price for today is $62.83.
Health Net Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2015 was 0.062 (Dec. 2014 ) + 0.38 (Mar. 2015 ) + 0.75 (Jun. 2015 ) + 0.77 (Sep. 2015 ) = $1.96.

* 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.

Health Net Inc Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebitda 9.235.987.62-1.5712.262.425.403.352.527.73

Health Net Inc Quarterly Data

Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15
ev2ebitda 4.762.352.522.504.254.967.736.568.404.91
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GuruFocus Premium Plus Membership

FEEDBACK