Enterprise Value to EBITDA (EV/EBITDA)
Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
Illumina Inc., EBITDA calculation
US$ in millions
Based on: 10-K (filing date: 2020-02-11), 10-K (filing date: 2019-02-12), 10-K (filing date: 2018-02-13), 10-K (filing date: 2017-02-14), 10-K (filing date: 2016-03-02).
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. | Illumina Inc.’s EBITDA decreased from 2017 to 2018 but then increased from 2018 to 2019 exceeding 2017 level. |
Enterprise Value to EBITDA Ratio, Current
Illumina Inc., current EV/EBITDA calculation, comparison to benchmarks
Selected Financial Data (US$ in millions) | |
Enterprise value (EV) | 54,698 |
Earnings before interest, tax, depreciation and amortization (EBITDA) | 1,358 |
Valuation Ratio | |
EV/EBITDA | 40.28 |
Benchmarks | |
EV/EBITDA, Competitors1 | |
Abbott Laboratories | 27.54 |
AbbVie Inc. | 18.39 |
Amgen Inc. | 13.10 |
Bristol-Myers Squibb Co. | 24.71 |
Eli Lilly & Co. | 29.40 |
Gilead Sciences Inc. | 11.17 |
Johnson & Johnson | 17.72 |
Merck & Co. Inc. | 14.15 |
Pfizer Inc. | 9.77 |
Regeneron Pharmaceuticals Inc. | 20.40 |
Vertex Pharmaceuticals Inc. | 36.57 |
Zoetis Inc. | 33.57 |
EV/EBITDA, Sector | |
Pharmaceuticals & Biotechnology | 17.38 |
EV/EBITDA, Industry | |
Health Care | 19.25 |
Based on: 10-K (filing date: 2020-02-11).
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
Illumina Inc., historical EV/EBITDA calculation, comparison to benchmarks
Dec 29, 2019 | Dec 30, 2018 | Dec 31, 2017 | Jan 1, 2017 | Jan 3, 2016 | ||
---|---|---|---|---|---|---|
Selected Financial Data (US$ in millions) | ||||||
Enterprise value (EV)1 | 41,239 | 41,525 | 31,596 | 23,847 | 22,822 | |
Earnings before interest, tax, depreciation and amortization (EBITDA)2 | 1,358 | 1,130 | 1,236 | 735 | 752 | |
Valuation Ratio | ||||||
EV/EBITDA3 | 30.37 | 36.75 | 25.56 | 32.43 | 30.36 | |
Benchmarks | ||||||
EV/EBITDA, Competitors4 | ||||||
Abbott Laboratories | 21.70 | 21.41 | 20.08 | 25.22 | 12.40 | |
AbbVie Inc. | 13.68 | 17.98 | 20.80 | 12.73 | 13.50 | |
Amgen Inc. | 12.26 | 9.49 | 9.37 | 9.60 | 9.91 | |
Bristol-Myers Squibb Co. | 23.84 | 11.97 | 17.25 | 14.26 | 39.09 | |
Eli Lilly & Co. | 21.40 | 23.29 | 22.72 | 18.40 | 19.15 | |
Gilead Sciences Inc. | 11.77 | 7.83 | 7.11 | 5.57 | 5.56 | |
Johnson & Johnson | 16.28 | 14.42 | 15.04 | 13.07 | 11.54 | |
Merck & Co. Inc. | 13.66 | 16.05 | 13.74 | 17.75 | 12.35 | |
Pfizer Inc. | 9.17 | 13.48 | 11.92 | 14.86 | 13.02 | |
Regeneron Pharmaceuticals Inc. | 14.80 | 15.50 | 15.13 | 26.10 | 28.77 | |
Vertex Pharmaceuticals Inc. | 37.82 | 60.10 | 342.33 | 276.52 | — | |
Zoetis Inc. | 30.11 | 20.74 | 21.37 | 18.19 | 28.57 | |
EV/EBITDA, Sector | ||||||
Pharmaceuticals & Biotechnology | 15.33 | 14.94 | 14.37 | 13.26 | 12.26 | |
EV/EBITDA, Industry | ||||||
Health Care | 16.46 | 15.84 | 15.22 | 13.93 | 13.15 |
Based on: 10-K (filing date: 2020-02-11), 10-K (filing date: 2019-02-12), 10-K (filing date: 2018-02-13), 10-K (filing date: 2017-02-14), 10-K (filing date: 2016-03-02).
3 2019 Calculation
EV/EBITDA = EV ÷ EBITDA
= 41,239 ÷ 1,358 = 30.37
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. | Illumina Inc.’s EV/EBITDA ratio increased from 2017 to 2018 but then slightly decreased from 2018 to 2019 not reaching 2017 level. |