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Tesco PLC (OTCPK:TSCDY)
EV/EBITDA
6.80 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Tesco PLC's enterprise value is $45,035 Mil. Tesco PLC's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Feb. 2014 was $7,098 Mil. Therefore, Tesco PLC's EV/EBITDA ratio for today is 6.80.

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, Tesco PLC's stock price is $11.29. Tesco PLC's earnings per share for the trailing twelve months (TTM) ended in Feb. 2014 was $0.60. Therefore, Tesco PLC's P/E Ratio for today is 19.00.

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


Definition

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

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=45035.088/7098.00664452
=6.34

Tesco PLC's current Enterprise Value is $45,035 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Tesco PLC's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Feb. 2014 was $7,098 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=11.29/0.601328903654
=18.78

Tesco PLC's share price for today is $11.29.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Tesco PLC's Earnings Per Share for the trailing twelve months (TTM) ended in Feb. 2014 was $0.60.

* 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.

Tesco PLC Annual Data

Feb05Feb06Feb07Feb08Feb09Feb10Feb11Feb12Feb13Feb14
ev2ebitda 9.659.3010.419.248.238.357.255.649.218.02

Tesco PLC Semi-Annual Data

Aug09Feb10Aug10Feb11Aug11Feb12Aug12Feb13Aug13Feb14
ev2ebitda 11.788.3511.037.259.595.645.019.210.008.02
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