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Iridex Corp (NAS:IRIX)
EV/EBITDA
28.36 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Iridex Corp's enterprise value is $85.27 Mil. Iridex Corp's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Dec. 2014 was $3.01 Mil. Therefore, Iridex Corp's EV/EBITDA ratio for today is 28.36.

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, Iridex Corp's stock price is $10.02. Iridex Corp's earnings per share for the trailing twelve months (TTM) ended in Dec. 2014 was $0.99. Therefore, Iridex Corp's P/E Ratio for today is 10.16.

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


Definition

Iridex Corp's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=85.265/3.007
=28.36

Iridex Corp's current Enterprise Value is $85.27 Mil.
Iridex Corp's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Dec. 2014 was 0.705 (Mar. 2014 ) + 0.495 (Jun. 2014 ) + 0.71 (Sep. 2014 ) + 1.097 (Dec. 2014 ) = $3.01 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.

Iridex Corp's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=10.02/0.986
=10.16

Iridex Corp's share price for today is $10.02.
Iridex Corp's Earnings Per Share for the trailing twelve months (TTM) ended in Dec. 2014 was 0.05 (Mar. 2014 ) + 0.03 (Jun. 2014 ) + 0.05 (Sep. 2014 ) + 0.856 (Dec. 2014 ) = $0.99.

* 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.

Iridex Corp Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebitda 16.72-11.46-1.44-2.338.0711.217.1857.3827.9323.72

Iridex Corp Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
ev2ebitda 9.0757.3817.5327.4715.4227.9326.7925.9521.5423.72
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