Switch to:
Wendy's Co (NAS:WEN)
EV/EBITDA
12.96 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Wendy's Co's enterprise value is $5,050 Mil. Wendy's Co's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2015 was $390 Mil. Therefore, Wendy's Co's EV/EBITDA ratio for today is 12.96.

WEN' s EV/EBITDA Range Over the Past 10 Years
Min: -21.6   Max: 32.8
Current: 12.98

-21.6
32.8

During the past 13 years, the highest EV/EBITDA Ratio of Wendy's Co was 32.80. The lowest was -21.60. And the median was 10.40.

WEN's EV/EBITDA is ranked lower than
57% of the 337 Companies
in the Global Restaurants industry.

( Industry Median: 11.85 vs. WEN: 12.98 )

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, Wendy's Co's stock price is $10.32. Wendy's Co's earnings per share for the trailing twelve months (TTM) ended in Sep. 2015 was $0.27. Therefore, Wendy's Co's P/E Ratio for today is 37.80.

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


Definition

Wendy's Co's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=5049.758/389.583
=12.96

Wendy's Co's current Enterprise Value is $5,050 Mil.
Wendy's Co's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2015 was 104.928 (Dec. 2014 ) + 89.389 (Mar. 2015 ) + 99.204 (Jun. 2015 ) + 96.062 (Sep. 2015 ) = $390 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.

Wendy's Co's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=10.32/0.273
=37.80

Wendy's Co's share price for today is $10.32.
Wendy's Co's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2015 was 0.063 (Dec. 2014 ) + 0.07 (Mar. 2015 ) + 0.11 (Jun. 2015 ) + 0.03 (Sep. 2015 ) = $0.27.

* 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.

Wendy's Co Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebitda 30.4413.3610.49-7.809.119.8810.4511.8913.1310.69

Wendy's Co Quarterly Data

Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15
ev2ebitda 12.8913.9813.1311.4010.179.8610.6913.8814.1711.79
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)

GuruFocus Premium Plus Membership

FEEDBACK