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ORBCOMM Inc (NAS:ORBC)
EV/EBITDA
32.61 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, ORBCOMM Inc's enterprise value is $377.55 Mil. ORBCOMM Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2014 was $11.58 Mil. Therefore, ORBCOMM Inc's EV/EBITDA ratio for today is 32.61.

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, ORBCOMM Inc's stock price is $6.71. ORBCOMM Inc's earnings per share for the trailing twelve months (TTM) ended in Sep. 2014 was $0.03. Therefore, ORBCOMM Inc's P/E Ratio for today is 258.08.

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


Definition

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

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=377.551/11.578
=32.61

ORBCOMM Inc's current Enterprise Value is $377.55 Mil.
ORBCOMM Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2014 was 3.315 (Dec. 2013 ) + 1.57 (Mar. 2014 ) + 4.061 (Jun. 2014 ) + 2.632 (Sep. 2014 ) = $11.58 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=6.71/0.026
=258.08

ORBCOMM Inc's share price for today is $6.71.
ORBCOMM Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2014 was 0.016 (Dec. 2013 ) + -0.01 (Mar. 2014 ) + 0.02 (Jun. 2014 ) + 0 (Sep. 2014 ) = $0.03.

* 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.

ORBCOMM Inc Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebitda 0.000.00-19.09-23.63-14.451.628.4810.448.1923.49

ORBCOMM Inc Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ev2ebitda 7.238.018.1914.3013.2417.3423.4931.4030.7728.02
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