Enterprise Value to EBITDA (EV/EBITDA)
Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
First Solar Inc., EBITDA calculation
US$ in thousands
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
| 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. | First Solar Inc. EBITDA increased from 2020 to 2021 but then decreased significantly from 2021 to 2022. |
Enterprise Value to EBITDA Ratio, Current
First Solar Inc., current EV/EBITDA calculation, comparison to benchmarks
| Selected Financial Data (US$ in thousands) | |
| Enterprise value (EV) | 19,060,168) |
| Earnings before interest, tax, depreciation and amortization (EBITDA) | 290,547) |
| Valuation Ratio | |
| EV/EBITDA | 65.60 |
| Benchmarks | |
| EV/EBITDA, Competitors1 | |
| Advanced Micro Devices Inc. | 60.80 |
| Analog Devices Inc. | 16.06 |
| Applied Materials Inc. | 18.92 |
| Broadcom Inc. | 29.60 |
| Intel Corp. | 15.72 |
| KLA Corp. | 19.94 |
| Lam Research Corp. | 20.61 |
| Micron Technology Inc. | 51.32 |
| NVIDIA Corp. | 59.03 |
| ON Semiconductor Corp. | 8.63 |
| Qualcomm Inc. | 18.52 |
| Texas Instruments Inc. | 16.81 |
| EV/EBITDA, Sector | |
| Semiconductors & Semiconductor Equipment | 31.62 |
| EV/EBITDA, Industry | |
| Information Technology | 27.30 |
Based on: 10-K (reporting date: 2022-12-31).
1 Click competitor name to see calculations.
If the company EV/EBITDA is lower then the EV/EBITDA of benchmark then company is relatively undervalued.
Otherwise, if the company EV/EBITDA is higher then the EV/EBITDA of benchmark then company is relatively overvalued.
Enterprise Value to EBITDA Ratio, Historical
First Solar Inc., historical EV/EBITDA calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Enterprise value (EV)1 | 15,638,230) | 6,454,817) | 7,119,181) | 3,642,553) | 3,555,510) | |
| Earnings before interest, tax, depreciation and amortization (EBITDA)2 | 290,547) | 845,169) | 548,022) | 112,128) | 304,424) | |
| Valuation Ratio | ||||||
| EV/EBITDA3 | 53.82 | 7.64 | 12.99 | 32.49 | 11.68 | |
| Benchmarks | ||||||
| EV/EBITDA, Competitors4 | ||||||
| Advanced Micro Devices Inc. | 22.63 | 34.19 | 62.10 | 82.59 | — | |
| Analog Devices Inc. | 16.23 | 38.55 | 23.61 | 18.67 | 14.37 | |
| Applied Materials Inc. | 11.04 | 17.54 | 16.82 | 14.60 | 6.24 | |
| Broadcom Inc. | 13.54 | 19.72 | 18.89 | 16.32 | 12.21 | |
| Intel Corp. | 6.20 | 6.02 | 6.40 | 8.73 | — | |
| KLA Corp. | 14.97 | 19.26 | 18.10 | 14.14 | 10.91 | |
| Lam Research Corp. | 11.34 | 16.67 | 17.76 | 10.07 | 7.08 | |
| Micron Technology Inc. | 3.26 | 6.05 | 6.46 | 3.90 | 2.41 | |
| NVIDIA Corp. | 57.59 | 58.96 | 52.90 | 21.10 | — | |
| ON Semiconductor Corp. | 11.65 | 14.40 | 20.27 | 11.13 | — | |
| Qualcomm Inc. | 7.84 | 12.76 | 19.49 | 10.55 | 28.47 | |
| Texas Instruments Inc. | 14.69 | 15.54 | 21.75 | 17.73 | — | |
| EV/EBITDA, Sector | ||||||
| Semiconductors & Semiconductor Equipment | 14.44 | 15.49 | 14.76 | 11.56 | — | |
| EV/EBITDA, Industry | ||||||
| Information Technology | 18.28 | 20.37 | 19.53 | 14.42 | — | |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
3 2022 Calculation
EV/EBITDA = EV ÷ EBITDA
= 15,638,230 ÷ 290,547 = 53.82
4 Click competitor name to see calculations.
| Valuation ratio | Description | The company |
|---|---|---|
| EV/EBITDA | Enterprise value to earnings before interest, tax, depreciation and amortization is a valuation indicator for the overall company rather than common stock. | First Solar Inc. EV/EBITDA ratio decreased from 2020 to 2021 but then increased from 2021 to 2022 exceeding 2020 level. |