GURUFOCUS.COM » STOCK LIST » Communication Services » Media - Diversified » WPP PLC (NYSE:WPP) » Definitions » EV-to-EBIT

WPP (WPP) EV-to-EBIT : 18.49 (As of Apr. 26, 2024)


View and export this data going back to 1990. Start your Free Trial

What is WPP EV-to-EBIT?

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, WPP's Enterprise Value is $17,185 Mil. WPP's EBIT for the trailing twelve months (TTM) ended in Dec. 2023 was $929 Mil. Therefore, WPP's EV-to-EBIT for today is 18.49.

The historical rank and industry rank for WPP's EV-to-EBIT or its related term are showing as below:

WPP' s EV-to-EBIT Range Over the Past 10 Years
Min: -6.81   Med: 11.98   Max: 18.92
Current: 18.44

During the past 13 years, the highest EV-to-EBIT of WPP was 18.92. The lowest was -6.81. And the median was 11.98.

WPP's EV-to-EBIT is ranked worse than
64.9% of 661 companies
in the Media - Diversified industry
Industry Median: 12.53 vs WPP: 18.44

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. WPP's Enterprise Value for the quarter that ended in Dec. 2023 was $16,701 Mil. WPP's EBIT for the trailing twelve months (TTM) ended in Dec. 2023 was $929 Mil. WPP's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 5.56%.


WPP EV-to-EBIT Historical Data

The historical data trend for WPP's EV-to-EBIT 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.

* Premium members only.

WPP EV-to-EBIT Chart

WPP Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
EV-to-EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.17 -5.23 13.22 9.18 17.96

WPP Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
EV-to-EBIT Get a 7-Day Free Trial 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 13.22 - 9.18 - 17.96

Competitive Comparison of WPP's EV-to-EBIT

For the Advertising Agencies subindustry, WPP's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT 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.


WPP's EV-to-EBIT Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, WPP's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where WPP's EV-to-EBIT falls into.



WPP EV-to-EBIT Calculation

WPP's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=17184.828/929.369
=18.49

WPP's current Enterprise Value is $17,185 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. WPP's EBIT for the trailing twelve months (TTM) ended in Dec. 2023 was $929 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.


WPP  (NYSE:WPP) EV-to-EBIT Explanation

This is a more accurate valuation of companies' operation because it considers 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) %.

WPP's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2023 is calculated as:

Earnings Yield (Joel Greenblatt) % (Q: Dec. 2023 ) =EBIT / Enterprise Value (Q: Dec. 2023 )
=929.369/16701.21776
=5.56 %

WPP's Enterprise Value for the quarter that ended in Dec. 2023 was $16,701 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. WPP's EBIT for the trailing twelve months (TTM) ended in Dec. 2023 was $929 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.


WPP EV-to-EBIT Related Terms

Thank you for viewing the detailed overview of WPP's EV-to-EBIT provided by GuruFocus.com. Please click on the following links to see related term pages.


WPP (WPP) Business Description

Traded in Other Exchanges
Address
18 Upper Ground, Sea Containers, London, GBR, SE1 9GL
Headquartered in the United Kingdom, WPP is the world's largest ad holding company, based on annual revenues. WPP's services, which include traditional and digital advertising, public relations, and consulting, are provided worldwide, with over 70% of its revenue coming from more developed regions such as North America, the U.K., and Western Europe.