Switch to:
GuruFocus has detected 2 Warning Signs with AutoZone Inc $AZO.
More than 500,000 people have already joined GuruFocus to track the stocks they follow and exchange investment ideas.
AutoZone Inc (NYSE:AZO)
EV-to-EBITDA
9.98 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, AutoZone Inc's enterprise value is $21,173 Mil. AutoZone Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in May. 2017 was $2,122 Mil. Therefore, AutoZone Inc's EV/EBITDA ratio for today is 9.98.

AZO' s EV-to-EBITDA Range Over the Past 10 Years
Min: 5.9   Max: 13
Current: 9.98

5.9
13

During the past 13 years, the highest EV/EBITDA Ratio of AutoZone Inc was 13.00. The lowest was 5.90. And the median was 9.50.

AZO's EV-to-EBITDA is ranked higher than
59% of the 792 Companies
in the Global Specialty Retail industry.

( Industry Median: 11.78 vs. AZO: 9.98 )

EV/EBITDA (Enterprise value/EBITDA) is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the P/E Ratio to determine the fair market value of a company.

As of today, AutoZone Inc's stock price is $579.61. AutoZone Inc's earnings per share for the trailing twelve months (TTM) ended in May. 2017 was $40.32. Therefore, AutoZone Inc's P/E Ratio for today is 14.38.

The "classic" EV/EBITDA ratio is much better in capturing debt and net cash than the P/E Ratio.


Definition

AutoZone Inc's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=21172.582/2121.999
=9.98

AutoZone Inc's current Enterprise Value is $21,173 Mil.
AutoZone Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in May. 2017 was 530.714 (Nov. 2016 ) + 456.802 (Feb. 2017 ) + 529.57 (Apr. 2017 ) + 604.913 (May. 2017 ) = $2,122 Mil.

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


Explanation

EV/EBITDA (Enterprise value/EBITDA) is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the P/E Ratio to determine the fair market value of a company.

AutoZone Inc's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=579.61/40.32
=14.38

AutoZone Inc's share price for today is $579.61.
AutoZone Inc's Earnings Per Share for the trailing twelve months (TTM) ended in May. 2017 was 9.36 (Nov. 2016 ) + 8.08 (Feb. 2017 ) + 11.44 (Apr. 2017 ) + 11.44 (May. 2017 ) = $40.32.

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

Study has found that the companies with the lowest EV/EBITDA outperforms companies measured as cheap by other ratios such as P/E Ratio.

Please read Which price ratio outperforms the enterprise multiple?


Related Terms

Enterprise Value, Earnings Before Depreciation and Amortization, P/E Ratio


Historical Data

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

AutoZone Inc Annual Data

Aug07Aug08Aug09Aug10Aug11Aug12Aug13Aug14Aug15Aug16
ev2ebitda 7.997.857.448.099.209.289.2310.3911.8911.18

AutoZone Inc Quarterly Data

May15Aug15Nov15Feb16May16Aug16Nov16Feb17Apr17May17
ev2ebitda 11.6711.8912.5312.2111.7411.1811.4210.8310.6110.36
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GF Chat

{{numOfNotice}}
FEEDBACK