Switch to:
The Hershey Co (NYSE:HSY)
EV/EBITDA
17.87 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, The Hershey Co's enterprise value is $26,503 Mil. The Hershey Co's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Jun. 2016 was $1,483 Mil. Therefore, The Hershey Co's EV/EBITDA ratio for today is 17.87.

HSY' s EV/EBITDA Range Over the Past 10 Years
Min: 10   Max: 19
Current: 17.87

10
19

During the past 13 years, the highest EV/EBITDA Ratio of The Hershey Co was 19.00. The lowest was 10.00. And the median was 13.50.

HSY's EV/EBITDA is ranked lower than
70% of the 1306 Companies
in the Global Confectioners industry.

( Industry Median: 12.39 vs. HSY: 17.87 )

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, The Hershey Co's stock price is $110.88. The Hershey Co's earnings per share for the trailing twelve months (TTM) ended in Jun. 2016 was $3.42. Therefore, The Hershey Co's P/E Ratio for today is 32.47.

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


Definition

The Hershey Co's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=26503.363/1483.013
=17.87

The Hershey Co's current Enterprise Value is $26,503 Mil.
The Hershey Co's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Jun. 2016 was 358.537 (Sep. 2015 ) + 351.711 (Dec. 2015 ) + 420.992 (Mar. 2016 ) + 351.773 (Jun. 2016 ) = $1,483 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.

The Hershey Co's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=110.88/3.415
=32.47

The Hershey Co's share price for today is $110.88.
The Hershey Co's Earnings Per Share for the trailing twelve months (TTM) ended in Jun. 2016 was 0.7 (Sep. 2015 ) + 0.975 (Dec. 2015 ) + 1.06 (Mar. 2016 ) + 0.68 (Jun. 2016 ) = $3.42.

* 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.

The Hershey Co Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ev2ebitda 11.3514.2411.7510.0511.0411.8913.1014.6615.4117.49

The Hershey Co Quarterly Data

Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16
ev2ebitda 15.6414.6914.7315.4115.2016.0917.5217.4918.6518.22
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)
FEEDBACK