Switch to:
Mead Johnson Nutrition Co (NYSE:MJN)
EV/EBITDA
13.91 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Mead Johnson Nutrition Co's enterprise value is $14,700 Mil. Mead Johnson Nutrition Co's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2015 was $1,057 Mil. Therefore, Mead Johnson Nutrition Co's EV/EBITDA ratio for today is 13.91.

MJN' s EV/EBITDA Range Over the Past 10 Years
Min: 8.8   Max: 21.2
Current: 13.95

8.8
21.2

During the past 13 years, the highest EV/EBITDA Ratio of Mead Johnson Nutrition Co was 21.20. The lowest was 8.80. And the median was 16.80.

MJN's EV/EBITDA is ranked lower than
53% of the 1864 Companies
in the Global Packaged Foods industry.

( Industry Median: 12.62 vs. MJN: 13.95 )

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, Mead Johnson Nutrition Co's stock price is $71.94. Mead Johnson Nutrition Co's earnings per share for the trailing twelve months (TTM) ended in Sep. 2015 was $3.37. Therefore, Mead Johnson Nutrition Co's P/E Ratio for today is 21.35.

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


Definition

Mead Johnson Nutrition Co's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=14699.780/1056.8
=13.91

Mead Johnson Nutrition Co's current Enterprise Value is $14,700 Mil.
Mead Johnson Nutrition Co's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2015 was 235.8 (Dec. 2014 ) + 311.9 (Mar. 2015 ) + 256.5 (Jun. 2015 ) + 252.6 (Sep. 2015 ) = $1,057 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.

Mead Johnson Nutrition Co's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=71.94/3.37
=21.35

Mead Johnson Nutrition Co's share price for today is $71.94.
Mead Johnson Nutrition Co's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2015 was 0.78 (Dec. 2014 ) + 1.02 (Mar. 2015 ) + 0.8 (Jun. 2015 ) + 0.77 (Sep. 2015 ) = $3.37.

* 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.

Mead Johnson Nutrition Co Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ev2ebitda 0.000.000.0012.9518.3417.3414.7216.3118.870.00

Mead Johnson Nutrition Co Quarterly Data

Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15
ev2ebitda 14.7916.3115.8617.7518.2918.8718.8417.1213.960.00
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GuruFocus Premium Plus Membership

FEEDBACK