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Occidental Petroleum Corporation (NYSE:OXY)
EV/EBITDA
5.33 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Occidental Petroleum Corporation's enterprise value is $78,968 Mil. Occidental Petroleum Corporation's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Dec. 2013 was $14,747 Mil. Therefore, Occidental Petroleum Corporation's EV/EBITDA ratio for today is 5.33.

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, Occidental Petroleum Corporation's stock price is $94.90. Occidental Petroleum Corporation's earnings per share for the trailing twelve months (TTM) ended in Dec. 2013 was $7.33. Therefore, Occidental Petroleum Corporation's P/E Ratio for today is 13.10.

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


Definition

Occidental Petroleum Corporation's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=78967.581/14747
=5.35

Occidental Petroleum Corporation's current Enterprise Value is $78,968 Mil.
Occidental Petroleum Corporation's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Dec. 2013 was 3400 (Mar. 2013 ) + 3475 (Jun. 2013 ) + 3882 (Sep. 2013 ) + 3990 (Dec. 2013 ) = $14,747 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.

Occidental Petroleum Corporation's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=94.90/7.328
=12.95

Occidental Petroleum Corporation's share price for today is $94.90.
Occidental Petroleum Corporation's Earnings Per Share for the trailing twelve months (TTM) ended in Dec. 2013 was 1.68 (Mar. 2013 ) + 1.64 (Jun. 2013 ) + 1.96 (Sep. 2013 ) + 2.048 (Dec. 2013 ) = $7.33.

* 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.

Occidental Petroleum Corporation Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebitda 4.843.994.245.673.428.487.665.445.635.46

Occidental Petroleum Corporation Quarterly Data

Sep11Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13
ev2ebitda 4.395.445.385.095.275.635.866.396.345.46
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