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, Ribbon Communications's Enterprise Value is $745.0 Mil.
Ribbon Communications's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 was $-15.1 Mil. Therefore, Ribbon Communications's EV-to-EBIT ratio for today is -49.20.
EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA. As of today, Ribbon Communications's Enterprise Value is $745.0 Mil.
Ribbon Communications's EBITDA for the trailing twelve months (TTM) ended in Mar. 2026 was $45.4 Mil. Therefore, Ribbon Communications's EV-to-EBITDA ratio for today is 16.39.
*** Please note that the current Enterprise Value is calculated using the current market capitalization and the most recently available financial data. If key financial fields—Long-Term Debt & Capital Lease Obligation and Short-Term Debt & Capital Lease Obligation—are recorded as null in the latest reporting period, our data vendor will default to using data from the prior period with valid entries.
Ribbon Communications (NAS:RBBN) 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.
Ribbon Communications's current Enterprise Value is $745.0 Mil.
Ribbon Communications's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $-15.1 Mil.
2. EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA.
Ribbon Communications's EV-to-EBITDA for today is:
Ribbon Communications's current Enterprise Value is $745.0 Mil.
Ribbon Communications's EBITDA for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $45.4 Mil.
Ribbon Communications's current Enterprise Value is $745.0 Mil.
Ribbon Communications's Revenue for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $825.9 Mil.
Ribbon Communications's current Enterprise Value is $745.0 Mil.
Ribbon Communications's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $32.9 Mil.
Ribbon Communications's current Enterprise Value is $745.0 Mil.
Ribbon Communications's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $16.7 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.
Ribbon Communications Enterprise Value Related Terms
Ribbon Communications Enterprise Value Historical Data
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The historical data trend for Ribbon Communications'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.
RBBN vs XPER, SVCO, RMNI: Enterprise Value Comparison
For the Software - Application subindustry, Ribbon Communications'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.
Ribbon Communications Enterprise Value vs Software Industry
For the Software industry and Technology sector, Ribbon Communications's Enterprise Value distribution charts can be found below:
* The bar in red indicates where Ribbon Communications's Enterprise Value falls into.
Ribbon Communications 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.
Ribbon Communications's Enterprise Value for the fiscal year that ended in Dec. 2025 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.
Ribbon Communications (RBBN) has a Enterprise Value of $745.0 Mil as of Jul. 01, 2026. Enterprise value equals the sum of market cap, debt and preferred shares less cash and equivalents. View historical data on Ribbon Communications and its competitors.
Is Ribbon Communications' Enterprise Value too high?
Ribbon Communications' current Enterprise Value is $745.0 Mil. Overall, Ribbon Communications has a GF Score™ of 56/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Ribbon Communications' Enterprise Value compare to XPER and SVCO?
Ribbon Communications' Enterprise Value of $745.0 Mil can be compared against companies in the Software industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Enterprise Value for a Software company?
A good Enterprise Value depends on the Software industry context. However, Enterprise Value should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Enterprise Value mean?
A high Enterprise Value can signal that a stock is expensive relative to its fundamentals. Enterprise value equals the sum of market cap, debt and preferred shares less cash and equivalents. View historical data on Ribbon Communications and its competitors. Ribbon Communications's current Enterprise Value is $745.0 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ribbon Communications stock overvalued right now?
Based on GuruFocus' analysis, Ribbon Communications (RBBN) is currently considered Modestly Undervalued. The stock's GF Value™ is $2.98, compared to a current price of $2.34 — trading 21.5% below its estimated fair value. The current Enterprise Value is $745.0 Mil. Ribbon Communications' overall GF Score™ is 56/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Enterprise Value calculated?
Enterprise Value is calculated from a company's financial statements. For Ribbon Communications (RBBN), the current Enterprise Value is $745.0 Mil as of Jul. 01, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Ribbon Communications (RBBN) Overvalued in 2026?
Based on GuruFocus' analysis, Ribbon Communications stock appears to be undervalued.
The current stock price of $2.34 is trading 21.5% below its estimated GF Value™ of $2.98.
GuruFocus considers Ribbon Communications to be Modestly Undervalued.
Key valuation signals for RBBN:
Enterprise Value: $745.0 Mil
GF Value™: $2.98 vs. price of $2.34 (21.5% below fair value)
No single metric tells the full story. See the RBBN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ribbon Communications Inc provides communications technology to service providers and enterprises, offering software and high-performance hardware products, network solutions, and services for secure data and voice communications, as well as high-bandwidth networking for residential and enterprise customers across industries such as finance, education, government, utilities, and transportation. It operates through two segments: Cloud and Edge, which generate maximum revenue and deliver software-centric, cloud-native solutions for VoIP, VoLTE, VoNR, and unified communications, and IP Optical Networks, which support growing telecommunications traffic from 5G, distributed cloud computing, and other applications. The Company generates the majority of its revenue from the United States.
56GF Score
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