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Yum Brands Inc (NYSE:YUM)
EV/EBITDA
18.22 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Yum Brands Inc's enterprise value is $40,637 Mil. Yum Brands Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Mar. 2015 was $2,230 Mil. Therefore, Yum Brands Inc's EV/EBITDA ratio for today is 18.22.

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, Yum Brands Inc's stock price is $93.63. Yum Brands Inc's earnings per share for the trailing twelve months (TTM) ended in Mar. 2015 was $2.24. Therefore, Yum Brands Inc's P/E Ratio for today is 41.89.

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


Definition

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

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=40636.900/2230
=18.22

Yum Brands Inc's current Enterprise Value is $40,637 Mil.
Yum Brands Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Mar. 2015 was 659 (Jun. 2014 ) + 731 (Sep. 2014 ) + 195 (Dec. 2014 ) + 645 (Mar. 2015 ) = $2,230 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=93.63/2.235
=41.89

Yum Brands Inc's share price for today is $93.63.
Yum Brands Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Mar. 2015 was 0.73 (Jun. 2014 ) + 0.89 (Sep. 2014 ) + -0.195 (Dec. 2014 ) + 0.81 (Mar. 2015 ) = $2.24.

* 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.

Yum Brands Inc Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebitda 9.2010.1011.578.558.8810.7112.0210.8114.2815.11

Yum Brands Inc Quarterly Data

Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15
ev2ebitda 10.8112.2712.2213.9614.2813.6514.0611.6115.110.00
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