Switch to:
Seagate Technology PLC (NAS:STX)
EV/EBITDA
8.97 (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 $23,258 Mil. Seagate Technology PLC's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2014 was $2,582 Mil. Therefore, Seagate Technology PLC's EV/EBITDA ratio for today is 8.97.

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 $66.16. Seagate Technology PLC's earnings per share for the trailing twelve months (TTM) ended in Sep. 2014 was $4.50. Therefore, Seagate Technology PLC's P/E Ratio for today is 14.60.

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)
=23258.200/2582
=9.01

Seagate Technology PLC's current Enterprise Value is $23,258 Mil.
Seagate Technology PLC's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2014 was 720 (Dec. 2013 ) + 653 (Mar. 2014 ) + 545 (Jun. 2014 ) + 664 (Sep. 2014 ) = $2,582 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=66.16/4.495
=14.72

Seagate Technology PLC's share price for today is $66.16.
Seagate Technology PLC's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2014 was 1.24 (Dec. 2013 ) + 1.17 (Mar. 2014 ) + 0.955 (Jun. 2014 ) + 1.13 (Sep. 2014 ) = $4.50.

* 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.

Seagate Technology PLC Annual Data

Jun05Jun06Jun07Jun08Jun09Jun10Jun11Jun12Jun13Jun14
ev2ebitda 5.846.608.184.42-3.712.434.672.685.737.55

Seagate Technology PLC Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ev2ebitda 2.682.882.713.765.735.797.267.347.557.88
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