Switch to:
Richardson Electronics (NAS:RELL)
EV/EBITDA
-2.67 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Richardson Electronics's enterprise value is $8.2 Mil. Richardson Electronics's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in May. 2014 was $-3.1 Mil. Therefore, Richardson Electronics's EV/EBITDA ratio for today is -2.67.

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, Richardson Electronics's stock price is $10.19. Richardson Electronics's earnings per share for the trailing twelve months (TTM) ended in May. 2014 was $0.05. Therefore, Richardson Electronics's P/E Ratio for today is 199.80.

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


Definition

Richardson Electronics's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=8.169/-3.059
=

Richardson Electronics's current Enterprise Value is $8.2 Mil.
Richardson Electronics's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in May. 2014 was 0.371 (Aug. 2013 ) + 0.807 (Nov. 2013 ) + -0.611 (Feb. 2014 ) + -3.626 (May. 2014 ) = $-3.1 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.

Richardson Electronics's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=10.19/0.051
=199.80

Richardson Electronics's share price for today is $10.19.
Richardson Electronics's Earnings Per Share for the trailing twelve months (TTM) ended in May. 2014 was 0.27 (Aug. 2013 ) + 0.03 (Nov. 2013 ) + -0.04 (Feb. 2014 ) + -0.209 (May. 2014 ) = $0.05.

* 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.

Richardson Electronics Annual Data

May05May06May07May08May09May10May11May12May13May14
ev2ebitda 12.8110.4520.0133.600.006.491.555.0736.430.00

Richardson Electronics Quarterly Data

Feb12May12Aug12Nov12Feb13May13Aug13Nov13Feb14May14
ev2ebitda 6.615.076.005.039.6936.4337.8437.860.000.00
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)
Free 7-day Trial
FEEDBACK