Switch to:
Wal-Mart Stores Inc (NYSE:WMT)
EV/EBITDA
7.34 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Wal-Mart Stores Inc's enterprise value is $255,811 Mil. Wal-Mart Stores Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Oct. 2015 was $34,828 Mil. Therefore, Wal-Mart Stores Inc's EV/EBITDA ratio for today is 7.34.

WMT' s EV/EBITDA Range Over the Past 10 Years
Min: 9.4   Max: 15.2
Current: 10.5

9.4
15.2

During the past 13 years, the highest EV/EBITDA Ratio of Wal-Mart Stores Inc was 15.20. The lowest was 9.40. And the median was 11.50.

WMT's EV/EBITDA is ranked lower than
53% of the 463 Companies
in the Global Discount Stores industry.

( Industry Median: 9.89 vs. WMT: 10.50 )

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, Wal-Mart Stores Inc's stock price is $65.55. Wal-Mart Stores Inc's earnings per share for the trailing twelve months (TTM) ended in Oct. 2015 was $4.68. Therefore, Wal-Mart Stores Inc's P/E Ratio for today is 14.01.

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


Definition

Wal-Mart Stores Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=255810.957/34828
=7.34

Wal-Mart Stores Inc's current Enterprise Value is $255,811 Mil.
Wal-Mart Stores Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Oct. 2015 was 10278 (Jan. 2015 ) + 8018 (Apr. 2015 ) + 8432 (Jul. 2015 ) + 8100 (Oct. 2015 ) = $34,828 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.

Wal-Mart Stores Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=65.55/4.68
=14.01

Wal-Mart Stores Inc's share price for today is $65.55.
Wal-Mart Stores Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Oct. 2015 was 1.54 (Jan. 2015 ) + 1.03 (Apr. 2015 ) + 1.08 (Jul. 2015 ) + 1.03 (Oct. 2015 ) = $4.68.

* 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.

Wal-Mart Stores Inc Annual Data

Jan06Jan07Jan08Jan09Jan10Jan11Jan12Jan13Jan14Jan15
ev2ebitda 13.7912.6112.1410.1810.8110.3710.7111.0611.2712.23

Wal-Mart Stores Inc Quarterly Data

Jul13Oct13Jan14Apr14Jul14Oct14Jan15Apr15Jul15Oct15
ev2ebitda 11.8711.7111.2711.9811.1411.4512.2311.5711.069.44
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