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, Versum Materials's Enterprise Value is $5,790 Mil.
Versum Materials's EBIT for the trailing twelve months (TTM) ended in Jun. 2019 was $230 Mil. Therefore, Versum Materials's EV-to-EBIT ratio for today is 25.22.
EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA. As of today, Versum Materials's Enterprise Value is $5,790 Mil.
Versum Materials's EBITDA for the trailing twelve months (TTM) ended in Jun. 2019 was $285 Mil. Therefore, Versum Materials's EV-to-EBITDA ratio for today is 20.34.
EV-to-Revenue is calculated as Enterprise Value divided by its Revenue. As of today, Versum Materials's Enterprise Value is $5,790 Mil.
Versum Materials's Revenue for the trailing twelve months (TTM) ended in Jun. 2019 was $1,341 Mil. Therefore, Versum Materials's EV-to-Revenue ratio for today is 4.32.
Versum Materials Enterprise Value Historical Data
The historical data trend for Versum Materials'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 Versum Materials's Enterprise Value
For the Chemicals subindustry, Versum Materials'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.
Versum Materials's Enterprise Value Distribution in the Chemicals Industry
For the Chemicals industry and Basic Materials sector, Versum Materials's Enterprise Value distribution charts can be found below:
* The bar in red indicates where Versum Materials's Enterprise Value falls into.
Versum Materials 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.
Versum Materials's Enterprise Value for the fiscal year that ended in Sep. 2018 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.
Versum Materials (NYSE:VSM) 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.
Versum Materials's current Enterprise Value is $5,790 Mil.
Versum Materials's EBIT for the trailing twelve months (TTM) ended in Jun. 2019 adds up the quarterly data reported by the company within the most recent 12 months, which was $230 Mil.
2. EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA.
Versum Materials's current Enterprise Value is $5,790 Mil.
Versum Materials's EBITDA for the trailing twelve months (TTM) ended in Jun. 2019 adds up the quarterly data reported by the company within the most recent 12 months, which was $285 Mil.
Versum Materials's current Enterprise Value is $5,790 Mil.
Versum Materials's Revenue for the trailing twelve months (TTM) ended in Jun. 2019 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,341 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.
Versum Materials Enterprise Value Related Terms
Thank you for viewing the detailed overview of Versum Materials's Enterprise Value provided by GuruFocus.com. Please click on the following links to see related term pages.
Versum Materials (Versum Materials) Business Description
Versum Materials is a leading global provider of electronic materials for the integrated circuit and flat-panel display markets. It supplies specialty chemicals and materials, high-purity specialty gases, proprietary delivery systems, and related services. The semiconductor industry accounts for 85% of sales. Versum generated fiscal 2017 revenue and adjusted EBIT of $1,127 million and $326 million, respectively. Versum employs almost 2,000 and serves 250 customers from its global network of 14 production sites and six R&D facilities.
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