Think of Enterprise Value as the theoretical takeover price. It is more comprehensive than market capitalization (Market Cap), which only includes common equity. Enterprise Value is calculated as the market cap plus debt and minority interest and preferred shares, minus total cash, cash equivalents, and marketable securities.
EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Essar Energy's Enterprise Value is £906 Mil.
Essar Energy does not have enough years/quarters to calculate its EBIT for the trailing twelve months (TTM) ended in Mar. 2013. Therefore, GuruFocus does not calculate Essar Energy's EV-to-EBIT at this moment.
EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA. As of today, Essar Energy's Enterprise Value is £906 Mil.
Essar Energy does not have enough years/quarters to calculate its EBITDA for the trailing twelve months (TTM) ended in Mar. 2013. Therefore, GuruFocus does not calculate Essar Energy's EV-to-EBITDA at this moment.
EV-to-Revenue is calculated as Enterprise Value divided by its Revenue. As of today, Essar Energy's Enterprise Value is £906 Mil.
Essar Energy does not have enough years/quarters to calculate its Revenue for the trailing twelve months (TTM) ended in Mar. 2013. Therefore, GuruFocus does not calculate Essar Energy's EV-to-Revenue at this moment.
Essar Energy Enterprise Value Historical Data
The historical data trend for Essar Energy's Enterprise Value can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Premium members only.
Essar Energy Enterprise Value Chart
Essar Energy Annual Data
Trend
Dec09
Dec10
Mar13
Enterprise Value
-
9,265.22
7,097.58
Essar Energy Semi-Annual Data
Dec09
Dec10
Mar13
Enterprise Value
-
10,010.52
7,097.58
Competitive Comparison of Essar Energy's Enterprise Value
For the Oil & Gas Refining & Marketing subindustry, Essar Energy's Enterprise Value, along with its competitors' market caps and Enterprise Value data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Essar Energy's Enterprise Value Distribution in the Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Essar Energy's Enterprise Value distribution charts can be found below:
* The bar in red indicates where Essar Energy's Enterprise Value falls into.
Essar Energy Enterprise Value Calculation
Enterprise Value is calculated as the market cap plus debt and minority interest and preferred shares, minus total cash, cash equivalents, and marketable securities.
Essar Energy's Enterprise Value for the fiscal year that ended in Mar. 2013 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Essar Energy (LSE:ESSR) Enterprise Value Explanation
When an investor buy a company, the investor needs to pay not only the common shares, he/she also needs to pay the shareholders of Preferred Stocks. He also assumes the debt of the company, and receives the cash on the company's balance sheet.
If a company has more cash than debt, the investor actually pays less than the Market Cap because he immediately owns the cash once the transaction goes through.
The market value of Preferred Stock needs to be added to the market value of common stocks in the calculation of Enterprise Value.
For the companies with the same Market Cap, the smaller the Enterprise Value is, the cheaper the company is.
Enterprise Value can be negative when the company's net cash is more than its Market Cap. In this case the investor is basically getting the company for free and get paid for that.
Essar Energy Enterprise Value Related Terms
Thank you for viewing the detailed overview of Essar Energy's Enterprise Value provided by GuruFocus.com. Please click on the following links to see related term pages.
Essar Energy plc is incorporated in United Kingdom. It is a holding company. The business activities of the Group of which it is the parent are those of an India-focused energy company with assets across the power and oil and gas industries. The Group comprises four operating divisions are Refining and Marketing India, Refining and Marketing UK, Exploration and Production, Power Generation and Transmission. Refining and Marketing India owns a petroleum refinery on the west coast of India, together with a 50% interest in a petroleum refinery in Kenya, and oil retailing stations on franchise across India. Its products are high speed diesel, motor spirit, fuel oil and superior kerosene oil. The activities of Refining and Marketing include the refining of crude oil and trading, marketing and transportation of finished products and by-products. Refining and Marketing UK products include high speed diesel, motor spirit, fuel oil and superior kerosene oil. The activities of Refining and Marketing include the refining of crude oil and trading, marketing and transportation of finished products and by-products. Exploration and Production has a diverse portfolio of 15 blocks for the exploration and production of oil and gas in India, Indonesia, Madagascar, Nigeria and Vietnam. Power segment operates gas and liquid fuel-based power plants in India and Canada together with a number of mining assets. Corporate comprises Essar Energy plc and its subsidiary companies that provide services to the Group as a whole.
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