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Nabors Industries Ltd (NYSE:NBR)
EV/EBITDA
4.89 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Nabors Industries Ltd's enterprise value is $8,316 Mil. Nabors Industries Ltd's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2014 was $1,724 Mil. Therefore, Nabors Industries Ltd's EV/EBITDA ratio for today is 4.89.

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, Nabors Industries Ltd's stock price is $15.60. Nabors Industries Ltd's earnings per share for the trailing twelve months (TTM) ended in Sep. 2014 was $1.23. Therefore, Nabors Industries Ltd's P/E Ratio for today is 12.60.

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


Definition

Nabors Industries Ltd's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=8316.175/1724.334
=4.82

Nabors Industries Ltd's current Enterprise Value is $8,316 Mil.
Nabors Industries Ltd's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2014 was 430.973 (Dec. 2013 ) + 390.894 (Mar. 2014 ) + 408.131 (Jun. 2014 ) + 494.336 (Sep. 2014 ) = $1,724 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.

Nabors Industries Ltd's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=15.60/1.226
=12.72

Nabors Industries Ltd's share price for today is $15.60.
Nabors Industries Ltd's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2014 was 0.506 (Dec. 2013 ) + 0.16 (Mar. 2014 ) + 0.21 (Jun. 2014 ) + 0.35 (Sep. 2014 ) = $1.23.

* 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.

Nabors Industries Ltd Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebitda 12.489.736.086.234.4312.809.055.284.935.80

Nabors Industries Ltd Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ev2ebitda 5.285.204.935.664.745.545.807.628.456.22
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