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Legg Mason Inc (NYSE:LM)
EV-to-EBITDA
10.57 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Legg Mason Inc's enterprise value is $4,734 Mil. Legg Mason Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Dec. 2016 was $448 Mil. Therefore, Legg Mason Inc's EV/EBITDA ratio for today is 10.57.

LM' s EV-to-EBITDA Range Over the Past 10 Years
Min: -91.4   Max: 108.9
Current: 8.58

-91.4
108.9

During the past 13 years, the highest EV/EBITDA Ratio of Legg Mason Inc was 108.90. The lowest was -91.40. And the median was 9.40.

LM's EV-to-EBITDA is ranked higher than
54% of the 1333 Companies
in the Global Asset Management industry.

( Industry Median: 11.65 vs. LM: 8.58 )

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, Legg Mason Inc's stock price is $37.93. Legg Mason Inc's earnings per share for the trailing twelve months (TTM) ended in Dec. 2016 was $1.02. Therefore, Legg Mason Inc's P/E Ratio for today is 37.19.

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


Definition

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

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=4733.803/447.898
=10.57

Legg Mason Inc's current Enterprise Value is $4,734 Mil.
Legg Mason Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Dec. 2016 was 37.221 (Mar. 2016 ) + 106.134 (Jun. 2016 ) + 163.783 (Sep. 2016 ) + 140.76 (Dec. 2016 ) = $448 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.

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

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=37.93/1.02
=37.19

Legg Mason Inc's share price for today is $37.93.
Legg Mason Inc's Earnings Per Share for the trailing twelve months (TTM) ended in Dec. 2016 was -0.42 (Mar. 2016 ) + 0.31 (Jun. 2016 ) + 0.63 (Sep. 2016 ) + 0.5 (Dec. 2016 ) = $1.02.

* 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.

Legg Mason Inc Annual Data

Mar08Mar09Mar10Mar11Mar12Mar13Mar14Mar15Mar16Mar17
ev2ebitda 11.26-1.347.369.457.66-11.1410.1612.5243.340.00

Legg Mason Inc Quarterly Data

Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16Dec16Mar17
ev2ebitda 12.7112.5211.887.9220.9143.3496.7750.388.870.00
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