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Legg Mason Inc (NYSE:LM)
EV/EBITDA
15.36 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Legg Mason Inc's enterprise value is $3,090 Mil. Legg Mason Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Dec. 2015 was $201 Mil. Therefore, Legg Mason Inc's EV/EBITDA ratio for today is 15.36.

LM' s EV/EBITDA Range Over the Past 10 Years
Min: -91.4   Max: 25.3
Current: 15.36

-91.4
25.3

During the past 13 years, the highest EV/EBITDA Ratio of Legg Mason Inc was 25.30. The lowest was -91.40. And the median was 9.30.

LM's EV/EBITDA is ranked lower than
58% of the 980 Companies
in the Global Asset Management industry.

( Industry Median: 12.03 vs. LM: 15.36 )

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, Legg Mason Inc's stock price is $29.49. Legg Mason Inc's earnings per share for the trailing twelve months (TTM) ended in Dec. 2015 was $0.83. Therefore, Legg Mason Inc's P/E Ratio for today is 35.53.

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


Definition

Legg Mason Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=3089.769/201.193
=15.36

Legg Mason Inc's current Enterprise Value is $3,090 Mil.
Legg Mason Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Dec. 2015 was 154.872 (Mar. 2015 ) + 145.953 (Jun. 2015 ) + 117.405 (Sep. 2015 ) + -217.037 (Dec. 2015 ) = $201 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.

Legg Mason Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=29.49/0.83
=35.53

Legg Mason Inc's share price for today is $29.49.
Legg Mason Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Dec. 2015 was 0.72 (Mar. 2015 ) + 0.84 (Jun. 2015 ) + 0.58 (Sep. 2015 ) + -1.31 (Dec. 2015 ) = $0.83.

* 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.

Legg Mason Inc Annual Data

Mar07Mar08Mar09Mar10Mar11Mar12Mar13Mar14Mar15Mar16
ev2ebitda 9.9611.26-1.347.319.457.66-11.1410.0012.5543.34

Legg Mason Inc Quarterly Data

Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16
ev2ebitda 10.2210.0010.1512.0712.7112.5511.887.9220.9143.34
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