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Sears Holdings Corp (NAS:SHLD)
EV/EBITDA
-11.85 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Sears Holdings Corp's enterprise value is $7,905 Mil. Sears Holdings Corp's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Jul. 2014 was $-667 Mil. Therefore, Sears Holdings Corp's EV/EBITDA ratio for today is -11.85.

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, Sears Holdings Corp's stock price is $36.31. Sears Holdings Corp's earnings per share for the trailing twelve months (TTM) ended in Jul. 2014 was $-16.55. Therefore, Sears Holdings Corp's P/E Ratio for today is 0.00.

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


Definition

Sears Holdings Corp's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=7904.641/-667
=-11.85

Sears Holdings Corp's current Enterprise Value is $7,905 Mil.
Sears Holdings Corp's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Jul. 2014 was -307 (Oct. 2013 ) + 184 (Jan. 2014 ) + -219 (Apr. 2014 ) + -325 (Jul. 2014 ) = $-667 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.

Sears Holdings Corp's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=36.31/-16.55
=

Sears Holdings Corp's share price for today is $36.31.
Sears Holdings Corp's Earnings Per Share for the trailing twelve months (TTM) ended in Jul. 2014 was -4.734 (Oct. 2013 ) + -3.176 (Jan. 2014 ) + -3.567 (Apr. 2014 ) + -5.073 (Jul. 2014 ) = $-16.55.

* 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.

Sears Holdings Corp Annual Data

Jan05Jan06Jan07Jan08Jan09Jan10Jan11Jan12Jan13Jan14
ev2ebitda 1.945.155.755.496.014.875.59-19.28132.26-291.56

Sears Holdings Corp Quarterly Data

Apr12Jul12Oct12Jan13Apr13Jul13Oct13Jan14Apr14Jul14
ev2ebitda 39.6226.4433.35132.26-15.29-14.91-15.89-291.56-42.97-11.78
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