What is Zoom Video Communications Enterprise Value?
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, Zoom Video Communications's Enterprise Value is $12,072 Mil.
Zoom Video Communications's EBIT for the trailing twelve months (TTM) ended in Jan. 2024 was $525 Mil. Therefore, Zoom Video Communications's EV-to-EBIT ratio for today is 22.98.
* 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 Zoom Video Communications's Enterprise Value
For the Software - Application subindustry, Zoom Video 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.
Zoom Video Communications's Enterprise Value Distribution in the Software Industry
For the Software industry and Technology sector, Zoom Video Communications's Enterprise Value distribution charts can be found below:
* The bar in red indicates where Zoom Video Communications's Enterprise Value falls into.
Zoom Video 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.
Zoom Video Communications's Enterprise Value for the fiscal year that ended in Jan. 2024 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.
Zoom Video Communications (NAS:ZM) 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.
Zoom Video Communications's EV-to-EBIT for today is
Zoom Video Communications's current Enterprise Value is $12,072 Mil.
Zoom Video Communications's EBIT for the trailing twelve months (TTM) ended in Jan. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $525 Mil.
2. EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA.
Zoom Video Communications's EV-to-EBITDA for today is:
Zoom Video Communications's current Enterprise Value is $12,072 Mil.
Zoom Video Communications's EBITDA for the trailing twelve months (TTM) ended in Jan. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $630 Mil.
Zoom Video Communications's current Enterprise Value is $12,072 Mil.
Zoom Video Communications's Revenue for the trailing twelve months (TTM) ended in Jan. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $4,527 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.
Zoom Video Communications Enterprise Value Related Terms
Thank you for viewing the detailed overview of Zoom Video Communications's Enterprise Value provided by GuruFocus.com. Please click on the following links to see related term pages.
Zoom Video Communications (Zoom Video Communications) Business Description
Zoom Video Communications provides a communications platform that connects people through video, voice, chat, and content sharing. The company's cloud-native platform enables face-to-face video and connects users across various devices and locations in a single meeting. Zoom, which was founded in 2011 and is headquartered in San Jose, California, serves companies of all sizes from all industries around the world.
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