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Valley National Bancorp (NYSE:VLY)
EV/EBITDA
22.99 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Valley National Bancorp's enterprise value is $4,060.2 Mil. Valley National Bancorp's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Dec. 2014 was $176.6 Mil. Therefore, Valley National Bancorp's EV/EBITDA ratio for today is 22.99.

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, Valley National Bancorp's stock price is $9.36. Valley National Bancorp's earnings per share for the trailing twelve months (TTM) ended in Dec. 2014 was $0.57. Therefore, Valley National Bancorp's P/E Ratio for today is 16.34.

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


Definition

Valley National Bancorp's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=4060.206/176.618
=22.99

Valley National Bancorp's current Enterprise Value is $4,060.2 Mil.
Valley National Bancorp's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Dec. 2014 was 41.988 (Mar. 2014 ) + 48.661 (Jun. 2014 ) + 45.083 (Sep. 2014 ) + 40.886 (Dec. 2014 ) = $176.6 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.

Valley National Bancorp's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=9.36/0.573
=16.34

Valley National Bancorp's share price for today is $9.36.
Valley National Bancorp's Earnings Per Share for the trailing twelve months (TTM) ended in Dec. 2014 was 0.17 (Mar. 2014 ) + 0.15 (Jun. 2014 ) + 0.14 (Sep. 2014 ) + 0.113 (Dec. 2014 ) = $0.57.

* 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.

Valley National Bancorp Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebitda 19.98-34.7024.7147.2625.5325.2121.9616.9123.0323.39

Valley National Bancorp Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
ev2ebitda 21.0316.9117.6018.2123.6023.0325.6324.9723.4623.39
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