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Walt Disney Co. (DIS) | Enterprise Value to EBITDA (EV/EBITDA)

Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)

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Walt Disney Co., EBITDA calculation

USD $ in millions

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  12 months ended Oct 1, 2011 Oct 2, 2010 Oct 3, 2009 Sep 27, 2008 Sep 29, 2007 Sep 30, 2006
chart Net income attributable to The Walt Disney Company (Disney)
chart Add: Net income attributable to noncontrolling interests
chart Add: Interest expense
chart Add: Income tax expense (benefit)
chart Earnings before interest and tax (EBIT)
chart Add: Depreciation and amortization
chart Earnings before interest, tax, depreciation and amortization (EBITDA)
Item Description The company
EBITDA To calculate EBITDA analysts start with net earnings. To that earnings number, interest, taxes, depreciation, and amortization are added. EBITDA as a pre-interest number is a flow to all providers of capital. Walt Disney Co.'s EBITDA increased from 2009 to 2010 and from 2010 to 2011.

EV to EBITDA Ratio, Current

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Walt Disney Co., current EV/EBITDA

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  Walt Disney Co. Consumer Services
Selected Financial Data (USD $ in millions)
Enterprise value (EV)  
Earnings before interest, tax, depreciation and amortization (EBITDA)  
Ratio
EV/EBITDA

If company EV/EBITDA is lower then the EV/EBITDA of benchmark then company is relatively undervalued.

Otherwise, if company EV/EBITDA is higher then the EV/EBITDA of benchmark then company is relatively overvalued.

EV to EBITDA Ratio, Historical

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Walt Disney Co., EV/EBITDA calculation

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    Oct 1, 2011 Oct 2, 2010 Oct 3, 2009 Sep 27, 2008 Sep 29, 2007 Sep 30, 2006
  Selected Financial Data (USD $ in millions)
chart Enterprise value (EV)
chart Earnings before interest, tax, depreciation and amortization (EBITDA)
  EV/EBITDA, Comparison to Industry
chart Walt Disney Co.1
  Industry, Consumer Services

2011 Calculations

1 EV/EBITDA = EV ÷ EBITDA
= ÷ =

Ratio Description The company
EV/EBITDA EV/EBITDA is a valuation indicator for the overall company rather than common stock. Walt Disney Co.'s EV/EBITDA ratio increased from 2009 to 2010 but then declined significantly from 2010 to 2011.

May 24, 2012

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