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Helmerich & Payne Inc (NYSE:HP)
EV/EBITDA
4.30 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Helmerich & Payne Inc's enterprise value is $6,993 Mil. Helmerich & Payne Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2014 was $1,625 Mil. Therefore, Helmerich & Payne Inc's EV/EBITDA ratio for today is 4.30.

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, Helmerich & Payne Inc's stock price is $67.19. Helmerich & Payne Inc's earnings per share for the trailing twelve months (TTM) ended in Sep. 2014 was $6.47. Therefore, Helmerich & Payne Inc's P/E Ratio for today is 10.38.

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


Definition

Helmerich & Payne Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=6992.845/1624.517
=4.30

Helmerich & Payne Inc's current Enterprise Value is $6,993 Mil.
Helmerich & Payne Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2014 was 384.376 (Dec. 2013 ) + 401.115 (Mar. 2014 ) + 425.491 (Jun. 2014 ) + 413.535 (Sep. 2014 ) = $1,625 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.

Helmerich & Payne Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=67.19/6.473
=10.38

Helmerich & Payne Inc's share price for today is $67.19.
Helmerich & Payne Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2014 was 1.59 (Dec. 2013 ) + 1.59 (Mar. 2014 ) + 1.75 (Jun. 2014 ) + 1.543 (Sep. 2014 ) = $6.47.

* 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.

Helmerich & Payne Inc Annual Data

Sep05Sep06Sep07Sep08Sep09Sep10Sep11Sep12Sep13Sep14
ev2ebitda 9.394.634.435.305.476.384.253.984.516.41

Helmerich & Payne Inc Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ev2ebitda 3.923.984.454.714.094.515.416.767.706.41
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