Switch to:
GuruFocus has detected 3 Warning Signs with W R Grace & Co $GRA.
More than 500,000 people have already joined GuruFocus to track the stocks they follow and exchange investment ideas.
W R Grace & Co (NYSE:GRA)
EV-to-EBITDA
16.64 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, W R Grace & Co's enterprise value is $6,300 Mil. W R Grace & Co's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Mar. 2017 was $379 Mil. Therefore, W R Grace & Co's EV/EBITDA ratio for today is 16.64.

GRA' s EV-to-EBITDA Range Over the Past 10 Years
Min: -1.2   Max: 80.8
Current: 16.63

-1.2
80.8

During the past 13 years, the highest EV/EBITDA Ratio of W R Grace & Co was 80.80. The lowest was -1.20. And the median was 6.45.

GRA's EV-to-EBITDA is ranked lower than
64% of the 982 Companies
in the Global Specialty Chemicals industry.

( Industry Median: 12.09 vs. GRA: 16.63 )

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, W R Grace & Co's stock price is $70.47. W R Grace & Co's earnings per share for the trailing twelve months (TTM) ended in Mar. 2017 was $1.96. Therefore, W R Grace & Co's P/E Ratio for today is 35.95.

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


Definition

W R Grace & Co's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=6300.236/378.7
=16.64

W R Grace & Co's current Enterprise Value is $6,300 Mil.
W R Grace & Co's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Mar. 2017 was 102.8 (Jun. 2016 ) + 107.5 (Sep. 2016 ) + 60.9 (Dec. 2016 ) + 107.5 (Mar. 2017 ) = $379 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.

W R Grace & Co's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=70.47/1.96
=35.95

W R Grace & Co's share price for today is $70.47.
W R Grace & Co's Earnings Per Share for the trailing twelve months (TTM) ended in Mar. 2017 was 0.55 (Jun. 2016 ) + 0.56 (Sep. 2016 ) + 0.22 (Dec. 2016 ) + 0.63 (Mar. 2017 ) = $1.96.

* 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.

W R Grace & Co Annual Data

Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15Dec16
ev2ebitda 3.13-0.166.065.055.7126.559.9921.3119.3217.59

W R Grace & Co Quarterly Data

Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16Dec16Mar17
ev2ebitda 21.3126.1537.1575.3419.3216.7117.5217.2817.5916.51
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