To calculate enterprise multiple, divide enterprise value (market value plus debt, minus cash) by earnings before interest, taxes, depreciation and amortization.
We calculate enterprise value by adding interest-bearing debt and the liquidation value of preferred stock to the market value of common shares, and then subtract cash and equivalents.
Another promising indicator for Sony is its enterprise multiple, calculated by dividing enterprise value (market capitalization plus net debt) by earnings before interest, taxes, depreciation and amortization.
Its enterprise multiple, calculated by dividing enterprise value by operating income (here defined as earnings before interest, taxes, depreciation and amortization), stands at just 3.5, low relative to a multiple of 10 for BearingPoint and 4.5 for Electronic Data Systems.
Enterprise multiple is calculated by dividing enterprise value by operating income (earnings before interest, taxes, depreciation and amortization).
The enterprise multiple is calculated by dividing enterprise value (market value plus net debt) by operating income (earnings before interest, taxes and depreciation).
The enterprise multiple is calculated by dividing enterprise value (market capitalization plus net debt) by earnings before interest, taxes and depreciation.
