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Morgan Stanley (NYSE:MS)
EV/EBITDA
23.04 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Morgan Stanley's enterprise value is $155,810 Mil. Morgan Stanley's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Mar. 2014 was $6,684 Mil. Therefore, Morgan Stanley's EV/EBITDA ratio for today is 23.04.

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, Morgan Stanley's stock price is $33.35. Morgan Stanley's earnings per share for the trailing twelve months (TTM) ended in Mar. 2014 was $1.62. Therefore, Morgan Stanley's P/E Ratio for today is 20.50.

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


Definition

Morgan Stanley's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=155809.656/6684
=23.31

Morgan Stanley's current Enterprise Value is $155,810 Mil.
Morgan Stanley's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Mar. 2014 was 2131 (Jun. 2013 ) + 1707 (Sep. 2013 ) + 213 (Dec. 2013 ) + 2633 (Mar. 2014 ) = $6,684 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.

Morgan Stanley's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=33.35/1.618
=20.61

Morgan Stanley's share price for today is $33.35.
Morgan Stanley's Earnings Per Share for the trailing twelve months (TTM) ended in Mar. 2014 was 0.41 (Jun. 2013 ) + 0.45 (Sep. 2013 ) + 0.018 (Dec. 2013 ) + 0.74 (Mar. 2014 ) = $1.62.

* 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.

Morgan Stanley Annual Data

Dec94Dec95Dec96Dec09Dec10Dec11Dec12Dec13
ev2ebitda 0.000.0011.8512.4039.6296.8427.4425.8473.6024.81

Morgan Stanley Quarterly Data

Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14
ev2ebitda 25.8426.7423.69251.6073.6047.5635.9120.5524.8122.69
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