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ITT Corp (NYSE:ITT)
EV/EBITDA
11.19 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, ITT Corp's enterprise value is $3,315 Mil. ITT Corp's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Jun. 2014 was $296 Mil. Therefore, ITT Corp's EV/EBITDA ratio for today is 11.19.

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, ITT Corp's stock price is $42.69. ITT Corp's earnings per share for the trailing twelve months (TTM) ended in Jun. 2014 was $5.57. Therefore, ITT Corp's P/E Ratio for today is 7.70.

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


Definition

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

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=3314.500/295.5
=11.22

ITT Corp's current Enterprise Value is $3,315 Mil.
ITT Corp's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Jun. 2014 was 98.9 (Sep. 2013 ) + 51.6 (Dec. 2013 ) + 69.4 (Mar. 2014 ) + 75.6 (Jun. 2014 ) = $296 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=42.69/5.571
=7.66

ITT Corp's share price for today is $42.69.
ITT Corp's Earnings Per Share for the trailing twelve months (TTM) ended in Jun. 2014 was 4.69 (Sep. 2013 ) + 0.121 (Dec. 2013 ) + 0.35 (Mar. 2014 ) + 0.41 (Jun. 2014 ) = $5.57.

* 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.

ITT Corp Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebitda 3.002.592.013.101.701.481.58-6.738.7312.34

ITT Corp Quarterly Data

Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14
ev2ebitda -3.76-1.36-1.338.7311.1012.0314.4212.3411.9912.89
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