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GuruFocus has detected 5 Warning Signs with Horizon Pharma PLC $HZNP.
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Horizon Pharma PLC (NAS:HZNP)
EV-to-EBITDA
50.83 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Horizon Pharma PLC's enterprise value is $3,795.6 Mil. Horizon Pharma PLC's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Dec. 2016 was $74.7 Mil. Therefore, Horizon Pharma PLC's EV/EBITDA ratio for today is 50.83.

HZNP' s EV-to-EBITDA Range Over the Past 10 Years
Min: -608   Max: 518
Current: 50.83

-608
518

During the past 9 years, the highest EV/EBITDA Ratio of Horizon Pharma PLC was 518.00. The lowest was -608.00. And the median was -0.30.

HZNP's EV-to-EBITDA is ranked lower than
88% of the 797 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 15.26 vs. HZNP: 50.83 )

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, Horizon Pharma PLC's stock price is $15.38. Horizon Pharma PLC's earnings per share for the trailing twelve months (TTM) ended in Dec. 2016 was $-1.04. Therefore, Horizon Pharma PLC's P/E Ratio for today is .

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


Definition

Horizon Pharma PLC's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=3795.577/74.67
=50.83

Horizon Pharma PLC's current Enterprise Value is $3,795.6 Mil.
Horizon Pharma PLC's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Dec. 2016 was 23.438 (Mar. 2016 ) + 83.35 (Jun. 2016 ) + 30.618 (Sep. 2016 ) + -62.736 (Dec. 2016 ) = $74.7 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's 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.

Horizon Pharma PLC's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=15.38/-1.04
=

Horizon Pharma PLC's share price for today is $15.38.
Horizon Pharma PLC's Earnings Per Share for the trailing twelve months (TTM) ended in Dec. 2016 was -0.28 (Mar. 2016 ) + 0.09 (Jun. 2016 ) + -0.04 (Sep. 2016 ) + -0.81 (Dec. 2016 ) = $-1.04.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's 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 local exchange's currency.

Horizon Pharma PLC Annual Data

Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15Dec16
ev2ebitda 0.000.000.000.00-0.69-1.21-15.9267.6219.2952.41

Horizon Pharma PLC Quarterly Data

Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16Dec16
ev2ebitda -696.4367.6279.81140.4026.4419.2917.5412.1016.0252.41
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