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Johnson & Johnson (NYSE:JNJ)
EV-to-EBITDA
14.60 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Johnson & Johnson's enterprise value is $359,523 Mil. Johnson & Johnson's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Mar. 2017 was $24,629 Mil. Therefore, Johnson & Johnson's EV/EBITDA ratio for today is 14.60.

JNJ' s EV-to-EBITDA Range Over the Past 10 Years
Min: 6.7   Max: 14.8
Current: 14.6

6.7
14.8

During the past 13 years, the highest EV/EBITDA Ratio of Johnson & Johnson was 14.80. The lowest was 6.70. And the median was 11.00.

JNJ's EV-to-EBITDA is ranked higher than
59% of the 591 Companies
in the Global Drug Manufacturers - Major industry.

( Industry Median: 17.60 vs. JNJ: 14.60 )

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, Johnson & Johnson's stock price is $136.05. Johnson & Johnson's earnings per share for the trailing twelve months (TTM) ended in Mar. 2017 was $5.95. Therefore, Johnson & Johnson's P/E Ratio for today is 22.87.

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


Definition

Johnson & Johnson's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=359523.010/24629
=14.60

Johnson & Johnson's current Enterprise Value is $359,523 Mil.
Johnson & Johnson's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Mar. 2017 was 5994 (Jun. 2016 ) + 6381 (Sep. 2016 ) + 5563 (Dec. 2016 ) + 6691 (Mar. 2017 ) = $24,629 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.

Johnson & Johnson's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=136.05/5.95
=22.87

Johnson & Johnson's share price for today is $136.05.
Johnson & Johnson's Earnings Per Share for the trailing twelve months (TTM) ended in Mar. 2017 was 1.43 (Jun. 2016 ) + 1.53 (Sep. 2016 ) + 1.38 (Dec. 2016 ) + 1.61 (Mar. 2017 ) = $5.95.

* 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.

Johnson & Johnson Annual Data

Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15Dec16
ev2ebitda 11.568.179.117.8210.3510.5612.3310.9511.3112.31

Johnson & Johnson Quarterly Data

Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16Dec16Mar17
ev2ebitda 10.9510.5810.1810.7611.3112.1414.0613.0212.3113.44
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