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Tesaro Inc (NAS:TSRO)
EV/EBITDA
-10.03 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Tesaro Inc's enterprise value is $1,019.12 Mil. Tesaro Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2014 was $-146.17 Mil. Therefore, Tesaro Inc's EV/EBITDA ratio for today is -10.03.

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, Tesaro Inc's stock price is $33.32. Tesaro Inc's earnings per share for the trailing twelve months (TTM) ended in Sep. 2014 was $-4.19. Therefore, Tesaro Inc'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

Tesaro Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=1019.120/-146.165
=-6.97

Tesaro Inc's current Enterprise Value is $1,019.12 Mil.
Tesaro Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2014 was -23.374 (Dec. 2013 ) + -49.742 (Mar. 2014 ) + -36.961 (Jun. 2014 ) + -36.088 (Sep. 2014 ) = $-146.17 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.

Tesaro Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=33.32/-4.186
=

Tesaro Inc's share price for today is $33.32.
Tesaro Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2014 was -0.716 (Dec. 2013 ) + -1.43 (Mar. 2014 ) + -1.03 (Jun. 2014 ) + -1.01 (Sep. 2014 ) = $-4.19.

* 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.

Tesaro Inc Annual Data

Dec11Dec12Dec13
ev2ebitda 0.000.000.000.000.000.000.000.00-5.41-8.61

Tesaro Inc Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ev2ebitda 0.000.00-5.410.000.000.00-8.610.00-7.770.00
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