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Red Hat Inc  (NYSE:RHT) EV-to-EBIT: 60.46 (As of Today)

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Red Hat Inc's Enterprise Value is $21,570 Mil. Red Hat Inc's EBIT for the trailing twelve months (TTM) ended in May. 2017 was $357 Mil. Therefore, Red Hat Inc's EV-to-EBIT for today is 60.46.

NYSE:RHT' s EV-to-EBIT Range Over the Past 10 Years
Min: 9.7   Max: 64.5
Current: 52.7

9.7
64.5

During the past 13 years, the highest EV-to-EBIT of Red Hat Inc was 64.50. The lowest was 9.70. And the median was 43.70.

NYSE:RHT's EV-to-EBIT is ranked lower than
78% of the 1275 Companies
in the Global industry.

( Industry Median: 19.16 vs. NYSE:RHT: 52.70 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. Red Hat Inc's Enterprise Value for the quarter that ended in May. 2017 was $15,013 Mil. Red Hat Inc's EBIT for the trailing twelve months (TTM) ended in May. 2017 was $357 Mil. Red Hat Inc's Earnings Yield (Joel Greenblatt) % for the quarter that ended in May. 2017 was 2.38%.


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

* Premium members only.

Red Hat Inc Annual Data

Feb08 Feb09 Feb10 Feb11 Feb12 Feb13 Feb14 Feb15 Feb16 Feb17
EV-to-EBIT Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 42.51 43.29 45.78 38.11 40.51

Red Hat Inc Quarterly Data

Nov12 Feb13 May13 Aug13 Nov13 Feb14 May14 Aug14 Nov14 Feb15 May15 Aug15 Nov15 Feb16 May16 Aug16 Nov16 Feb17 May17 Aug17
EV-to-EBIT Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 40.33 42.32 40.51 42.08 44.26

Competitive Comparison
* 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.


Calculation

Red Hat Inc's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=21569.746/356.777
=60.46

Red Hat Inc's current Enterprise Value is $21,570 Mil.
Red Hat Inc's EBIT for the trailing twelve months (TTM) ended in May. 2017 was 85.36 (Aug. 2016 ) + 82.727 (Nov. 2016 ) + 97.675 (Feb. 2017 ) + 91.015 (May. 2017 ) = $357 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.


Explanation

This is a more accurate valuation of companies' operation because it consider the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %.

Red Hat Inc's Earnings Yield (Joel Greenblatt) % for the quarter that ended in May. 2017 is calculated as:

Earnings Yield (Joel Greenblatt) % (Q: May. 2017 =EBIT / Enterprise Value (Q: May. 2017 )
=356.777/15013.1564
=2.38 %

Red Hat Inc's Enterprise Value for the quarter that ended in >May. 2017 was $15,013 Mil.
Red Hat Inc's EBIT for the trailing twelve months (TTM) ended in May. 2017 was 85.36 (Aug. 2016 ) + 82.727 (Nov. 2016 ) + 97.675 (Feb. 2017 ) + 91.015 (May. 2017 ) = $357 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.


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