Switch to:
Motorola Solutions Inc (NYSE:MSI)
EV/EBITDA
-20.11 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Motorola Solutions Inc's enterprise value is $13,496 Mil. Motorola Solutions Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Jun. 2015 was $-671 Mil. Therefore, Motorola Solutions Inc's EV/EBITDA ratio for today is -20.11.

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, Motorola Solutions Inc's stock price is $63.85. Motorola Solutions Inc's earnings per share for the trailing twelve months (TTM) ended in Jun. 2015 was $2.49. Therefore, Motorola Solutions Inc's P/E Ratio for today is 25.67.

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


Definition

Motorola Solutions Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=13495.724/-671
=-20.11

Motorola Solutions Inc's current Enterprise Value is $13,496 Mil.
Motorola Solutions Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Jun. 2015 was 234 (Sep. 2014 ) + -1411 (Dec. 2014 ) + 212 (Mar. 2015 ) + 294 (Jun. 2015 ) = $-671 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.

Motorola Solutions Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=63.85/2.487
=25.67

Motorola Solutions Inc's share price for today is $63.85.
Motorola Solutions Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Jun. 2015 was 0.59 (Sep. 2014 ) + 0.877 (Dec. 2014 ) + 0.34 (Mar. 2015 ) + 0.68 (Jun. 2015 ) = $2.49.

* 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.

Motorola Solutions Inc Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebitda 3.812.8829.65-2.0113.955.239.118.9213.47-17.05

Motorola Solutions Inc Quarterly Data

Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15
ev2ebitda 10.8010.3811.2213.4714.3615.5716.53-17.05-18.07-18.11
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