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, Raytheon Co's Enterprise Value is $32,566 Mil.
Raytheon Co's EBIT for the trailing twelve months (TTM) ended in Dec. 2019 was $4,166 Mil. Therefore, Raytheon Co's EV-to-EBIT ratio for today is 7.82.
EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA. As of today, Raytheon Co's Enterprise Value is $32,566 Mil.
Raytheon Co's EBITDA for the trailing twelve months (TTM) ended in Dec. 2019 was $4,771 Mil. Therefore, Raytheon Co's EV-to-EBITDA ratio for today is 6.83.
EV-to-Revenue is calculated as Enterprise Value divided by its Revenue. As of today, Raytheon Co's Enterprise Value is $32,566 Mil.
Raytheon Co's Revenue for the trailing twelve months (TTM) ended in Dec. 2019 was $29,176 Mil. Therefore, Raytheon Co's EV-to-Revenue ratio for today is 1.12.
Raytheon Co Enterprise Value Historical Data
The historical data trend for Raytheon Co'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.
Competitive Comparison of Raytheon Co's Enterprise Value
For the Aerospace & Defense subindustry, Raytheon Co'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.
Raytheon Co's Enterprise Value Distribution in the Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Raytheon Co's Enterprise Value distribution charts can be found below:
* The bar in red indicates where Raytheon Co's Enterprise Value falls into.
Raytheon Co 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.
Raytheon Co's Enterprise Value for the fiscal year that ended in Dec. 2019 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.
Raytheon Co (NYSE:RTN) 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.
1. EV-to-EBIT is calculated as Enterprise Value divided by its EBIT.
Raytheon Co's current Enterprise Value is $32,566 Mil.
Raytheon Co's EBIT for the trailing twelve months (TTM) ended in Dec. 2019 adds up the quarterly data reported by the company within the most recent 12 months, which was $4,166 Mil.
2. EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA.
Raytheon Co's current Enterprise Value is $32,566 Mil.
Raytheon Co's EBITDA for the trailing twelve months (TTM) ended in Dec. 2019 adds up the quarterly data reported by the company within the most recent 12 months, which was $4,771 Mil.
Raytheon Co's current Enterprise Value is $32,566 Mil.
Raytheon Co's Revenue for the trailing twelve months (TTM) ended in Dec. 2019 adds up the quarterly data reported by the company within the most recent 12 months, which was $29,176 Mil.
* 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.
Raytheon Co Enterprise Value Related Terms
Thank you for viewing the detailed overview of Raytheon Co's Enterprise Value provided by GuruFocus.com. Please click on the following links to see related term pages.
Raytheon is a U.S. defense contractor that posted just over $27 billion in sales during 2018. It operates through five segments: integrated defense systems, intelligence and information, missile systems, space and airborne systems, and a cybersecurity business branded Forcepoint. Sales to the U.S. government account for about 70% of consolidated revenue. Based in Waltham, Massachusetts, Raytheon employs more than 60,000 people.
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