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River Valley Bancorp (NAS:RIVR)
EV/EBITDA
10.06 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, River Valley Bancorp's enterprise value is $65.36 Mil. River Valley Bancorp's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Jun. 2014 was $6.49 Mil. Therefore, River Valley Bancorp's EV/EBITDA ratio for today is 10.06.

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, River Valley Bancorp's stock price is $21.50. River Valley Bancorp's earnings per share for the trailing twelve months (TTM) ended in Jun. 2014 was $2.65. Therefore, River Valley Bancorp's P/E Ratio for today is 8.10.

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


Definition

River Valley Bancorp's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=65.359/6.494
=10.06

River Valley Bancorp's current Enterprise Value is $65.36 Mil.
River Valley Bancorp's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Jun. 2014 was 1.722 (Sep. 2013 ) + 1.555 (Dec. 2013 ) + 1.54 (Mar. 2014 ) + 1.677 (Jun. 2014 ) = $6.49 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.

River Valley Bancorp's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=21.50/2.654
=8.10

River Valley Bancorp's share price for today is $21.50.
River Valley Bancorp's Earnings Per Share for the trailing twelve months (TTM) ended in Jun. 2014 was 0.68 (Sep. 2013 ) + 0.664 (Dec. 2013 ) + 0.63 (Mar. 2014 ) + 0.68 (Jun. 2014 ) = $2.65.

* 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.

River Valley Bancorp Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebitda 24.2925.5031.3831.4828.2942.6323.5631.2512.4612.62

River Valley Bancorp Quarterly Data

Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14
ev2ebitda 35.4335.2821.6112.4610.4110.3411.8612.6211.0111.17
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