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Johnson & Johnson (NYSE:JNJ)
EV/EBITDA
15.28 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Johnson & Johnson's enterprise value is $326,692 Mil. Johnson & Johnson's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Mar. 2016 was $21,383 Mil. Therefore, Johnson & Johnson's EV/EBITDA ratio for today is 15.28.

JNJ' s EV/EBITDA Range Over the Past 10 Years
Min: 6.7   Max: 15.6
Current: 15.26

6.7
15.6

During the past 13 years, the highest EV/EBITDA Ratio of Johnson & Johnson was 15.60. The lowest was 6.70. And the median was 10.90.

JNJ's EV/EBITDA is ranked higher than
56% of the 625 Companies
in the Global Drug Manufacturers - Major industry.

( Industry Median: 16.97 vs. JNJ: 15.26 )

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, Johnson & Johnson's stock price is $124.77. Johnson & Johnson's earnings per share for the trailing twelve months (TTM) ended in Mar. 2016 was $5.50. Therefore, Johnson & Johnson's P/E Ratio for today is 22.69.

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


Definition

Johnson & Johnson's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=326691.892/21383
=15.28

Johnson & Johnson's current Enterprise Value is $326,692 Mil.
Johnson & Johnson's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Mar. 2016 was 5806 (Jun. 2015 ) + 5174 (Sep. 2015 ) + 4951 (Dec. 2015 ) + 5452 (Mar. 2016 ) = $21,383 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.

Johnson & Johnson's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=124.77/5.5
=22.69

Johnson & Johnson's share price for today is $124.77.
Johnson & Johnson's Earnings Per Share for the trailing twelve months (TTM) ended in Mar. 2016 was 1.61 (Jun. 2015 ) + 1.2 (Sep. 2015 ) + 1.15 (Dec. 2015 ) + 1.54 (Mar. 2016 ) = $5.50.

* 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.

Johnson & Johnson Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ev2ebitda 11.5011.608.179.117.8210.3510.5612.3310.9511.79

Johnson & Johnson Quarterly Data

Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16
ev2ebitda 12.4912.6011.0610.9510.5810.5811.2411.7913.190.00
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