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EV/EBITDA Explained: A Key Valuation Multiple for Investors

Valutico

EV/EBITDA is a widely used multiple in this relative valuation approach. What is EV/EBITDA? Investors and analysts widely utilize the EV/EBITDA multiple as a key valuation metric. The multiple is calculated as Enterprise Value (EV) divided by EBITDA. Breaking down the multiple What is EBITDA?

EBITDA 52
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Data Update 1 for 2025: The Draw (and Danger) of Data

Musings on Markets

EBIT & EBITDA multiple s 5. Since I update the data only once a year, it will age as we go through 2025, but that aging will be most felt, if you use my pricing multiples (PE, PBV, EV to EBITDA etc.) Standard Deviation in Equity/Firm Value 2. Book Value Multiples 3. Fundamenal Growth in Operating Earnings 3.

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Discounted-Cash-Flow-Analysis: Your Complete Guide with Examples

Valutico

Practitioners assume the business is sold as a multiple of some financial metric like EBITDA, based on what they can see today for other businesses that were sold, and what these comparable trading multiples are. . Tax (from tax rate and EBIT). Risk free rate (can use 10y Treasury). EV/EBITDA Multiple. Depreciation.