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Level 3 Communications Inc (NYSE:LVLT)
EV/EBITDA
13.69 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Level 3 Communications Inc's enterprise value is $28,632 Mil. Level 3 Communications Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Dec. 2015 was $2,091 Mil. Therefore, Level 3 Communications Inc's EV/EBITDA ratio for today is 13.69.

LVLT' s EV/EBITDA Range Over the Past 10 Years
Min: 5.5   Max: 75.5
Current: 13.73

5.5
75.5

During the past 13 years, the highest EV/EBITDA Ratio of Level 3 Communications Inc was 75.50. The lowest was 5.50. And the median was 12.15.

LVLT's EV/EBITDA is ranked lower than
75% of the 401 Companies
in the Global Telecom Services industry.

( Industry Median: 8.36 vs. LVLT: 13.73 )

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, Level 3 Communications Inc's stock price is $51.78. Level 3 Communications Inc's earnings per share for the trailing twelve months (TTM) ended in Dec. 2015 was $9.34. Therefore, Level 3 Communications Inc's P/E Ratio for today is 5.54.

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


Definition

Level 3 Communications Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=28632.151/2091
=13.69

Level 3 Communications Inc's current Enterprise Value is $28,632 Mil.
Level 3 Communications Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Dec. 2015 was 595 (Mar. 2015 ) + 458 (Jun. 2015 ) + 458 (Sep. 2015 ) + 580 (Dec. 2015 ) = $2,091 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.

Level 3 Communications Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=51.78/9.343
=5.54

Level 3 Communications Inc's share price for today is $51.78.
Level 3 Communications Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Dec. 2015 was 0.35 (Mar. 2015 ) + -0.04 (Jun. 2015 ) + 0.003 (Sep. 2015 ) + 9.03 (Dec. 2015 ) = $9.34.

* 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.

Level 3 Communications Inc Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ev2ebitda 19.0027.185.659.1110.0415.0511.5511.2616.2414.12

Level 3 Communications Inc Quarterly Data

Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16
ev2ebitda 11.2611.1111.4911.7916.2416.0015.3413.4814.120.00
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