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Mercer International Inc (NAS:MERC)
EV/EBITDA
9.97 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Mercer International Inc's enterprise value is $1,279 Mil. Mercer International Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Dec. 2013 was $129 Mil. Therefore, Mercer International Inc's EV/EBITDA ratio for today is 9.97.

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, Mercer International Inc's stock price is $7.63. Mercer International Inc's earnings per share for the trailing twelve months (TTM) ended in Dec. 2013 was $-0.47. Therefore, Mercer International Inc's P/E Ratio for today is 0.00.

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


Definition

Mercer International Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=1279.355/128.675
=9.94

Mercer International Inc's current Enterprise Value is $1,279 Mil.
Mercer International Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Dec. 2013 was 37.281 (Mar. 2013 ) + 25.423 (Jun. 2013 ) + 36.32 (Sep. 2013 ) + 29.651 (Dec. 2013 ) = $129 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.

Mercer International Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=7.63/-0.468
=

Mercer International Inc's share price for today is $7.63.
Mercer International Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Dec. 2013 was -0.013 (Mar. 2013 ) + -0.232 (Jun. 2013 ) + -0.054 (Sep. 2013 ) + -0.169 (Dec. 2013 ) = $-0.47.

* 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.

Mercer International Inc Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebitda 37.6515.224.276.0619.1018.824.615.068.3810.86

Mercer International Inc Quarterly Data

Sep11Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13
ev2ebitda 3.985.067.017.239.368.388.339.339.2510.86
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