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GuruFocus has detected 7 Warning Signs with Seagate Technology PLC $STX.
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Seagate Technology PLC (NAS:STX)
EV-to-EBITDA
10.27 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Seagate Technology PLC's enterprise value is $15,731 Mil. Seagate Technology PLC's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Dec. 2016 was $1,532 Mil. Therefore, Seagate Technology PLC's EV/EBITDA ratio for today is 10.27.

STX' s EV-to-EBITDA Range Over the Past 10 Years
Min: -5.6   Max: 12.8
Current: 10.27

-5.6
12.8

During the past 13 years, the highest EV/EBITDA Ratio of Seagate Technology PLC was 12.80. The lowest was -5.60. And the median was 5.80.

STX's EV-to-EBITDA is ranked higher than
53% of the 2052 Companies
in the Global Data Storage industry.

( Industry Median: 11.11 vs. STX: 10.27 )

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, Seagate Technology PLC's stock price is $45.24. Seagate Technology PLC's earnings per share for the trailing twelve months (TTM) ended in Dec. 2016 was $1.71. Therefore, Seagate Technology PLC's P/E Ratio for today is 26.46.

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


Definition

Seagate Technology PLC's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=15730.800/1532
=10.27

Seagate Technology PLC's current Enterprise Value is $15,731 Mil.
Seagate Technology PLC's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Dec. 2016 was 254 (Mar. 2016 ) + 304 (Jun. 2016 ) + 423 (Sep. 2016 ) + 551 (Dec. 2016 ) = $1,532 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's 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.

Seagate Technology PLC's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=45.24/1.71
=26.46

Seagate Technology PLC's share price for today is $45.24.
Seagate Technology PLC's Earnings Per Share for the trailing twelve months (TTM) ended in Dec. 2016 was -0.07 (Mar. 2016 ) + 0.23 (Jun. 2016 ) + 0.55 (Sep. 2016 ) + 1 (Dec. 2016 ) = $1.71.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's 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 local exchange's currency.

Seagate Technology PLC Annual Data

Jun07Jun08Jun09Jun10Jun11Jun12Jun13Jun14Jun15Jun16
ev2ebitda 8.184.42-3.632.434.672.685.737.545.528.03

Seagate Technology PLC Quarterly Data

Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16Dec16
ev2ebitda 7.886.905.685.525.968.179.498.039.958.89
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