Switch to:
Prudential Financial Inc (NYSE:PRU)
EV/EBITDA
4.19 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Prudential Financial Inc's enterprise value is $28,739 Mil. Prudential Financial Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Mar. 2016 was $6,863 Mil. Therefore, Prudential Financial Inc's EV/EBITDA ratio for today is 4.19.

PRU' s EV/EBITDA Range Over the Past 10 Years
Min: -109.7   Max: 28.4
Current: 4.18

-109.7
28.4

During the past 13 years, the highest EV/EBITDA Ratio of Prudential Financial Inc was 28.40. The lowest was -109.70. And the median was 9.00.

PRU's EV/EBITDA is ranked higher than
78% of the 67 Companies
in the Global Insurance - Life industry.

( Industry Median: 8.21 vs. PRU: 4.18 )

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, Prudential Financial Inc's stock price is $71.00. Prudential Financial Inc's earnings per share for the trailing twelve months (TTM) ended in Mar. 2016 was $10.73. Therefore, Prudential Financial Inc's P/E Ratio for today is 6.62.

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


Definition

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

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=28739.000/6863
=4.19

Prudential Financial Inc's current Enterprise Value is $28,739 Mil.
Prudential Financial Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Mar. 2016 was 2007 (Jun. 2015 ) + 2127 (Sep. 2015 ) + 830 (Dec. 2015 ) + 1899 (Mar. 2016 ) = $6,863 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=71.00/10.727
=6.62

Prudential Financial Inc's share price for today is $71.00.
Prudential Financial Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Mar. 2016 was 3.03 (Jun. 2015 ) + 3.16 (Sep. 2015 ) + 1.607 (Dec. 2015 ) + 2.93 (Mar. 2016 ) = $10.73.

* 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.

Prudential Financial Inc Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ev2ebitda 10.7311.15-55.4415.948.065.13-24.10-42.1717.665.11

Prudential Financial Inc Quarterly Data

Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16
ev2ebitda -42.1727.0412.9716.3117.6611.6712.476.705.114.28
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)
FEEDBACK