Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
EV to EBITDA Ratio, Current
EV to EBITDA Ratio, Historical

Starbucks Corp., EBITDA calculation

US$ in thousands

12 months ended:	Oct 3, 2021	Sep 27, 2020	Sep 29, 2019	Sep 30, 2018	Oct 1, 2017	Oct 2, 2016
Net earnings attributable to Starbucks	4,199,300	928,300	3,599,200	4,518,300	2,884,700	2,817,700
Add: Net income attributable to noncontrolling interest	1,000	(3,600)	(4,600)	(300)	200	1,200
Add: Income tax expense	1,156,600	239,700	871,600	1,262,000	1,432,600	1,379,700
Earnings before tax (EBT)	5,356,900	1,164,400	4,466,200	5,780,000	4,317,500	4,198,600
Add: Interest expense	469,800	437,000	331,000	170,300	92,500	81,300
Earnings before interest and tax (EBIT)	5,826,700	1,601,400	4,797,200	5,950,300	4,410,000	4,279,900
Add: Depreciation and amortization	1,524,100	1,503,200	1,449,300	1,305,900	1,067,100	1,030,100
Earnings before interest, tax, depreciation and amortization (EBITDA)	7,350,800	3,104,600	6,246,500	7,256,200	5,477,100	5,310,000

Based on: 10-K (reporting date: 2021-10-03), 10-K (reporting date: 2020-09-27), 10-K (reporting date: 2019-09-29), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-10-01), 10-K (reporting date: 2016-10-02).

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.	Starbucks Corp. EBITDA decreased from 2019 to 2020 but then increased from 2020 to 2021 exceeding 2019 level.

Starbucks Corp., current EV/EBITDA calculation, comparison to benchmarks

Selected Financial Data (US$ in thousands)
Enterprise value (EV)	107,335,018
Earnings before interest, tax, depreciation and amortization (EBITDA)	7,350,800
Valuation Ratio
EV/EBITDA	14.60
Benchmarks
EV/EBITDA, Competitors¹
Carnival Corp. & plc	—
McDonald’s Corp.	16.69
EV/EBITDA, Sector
Consumer Services	24.96
EV/EBITDA, Industry
Consumer Discretionary	16.45

Based on: 10-K (reporting date: 2021-10-03).

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.

Starbucks Corp., historical EV/EBITDA calculation, comparison to benchmarks

	Oct 3, 2021	Sep 27, 2020	Sep 29, 2019	Sep 30, 2018	Oct 1, 2017	Oct 2, 2016
Selected Financial Data (US$ in thousands)
Enterprise value (EV)¹	137,971,696	121,059,261	107,863,110	85,067,896	82,248,604	82,513,358
Earnings before interest, tax, depreciation and amortization (EBITDA)²	7,350,800	3,104,600	6,246,500	7,256,200	5,477,100	5,310,000
Valuation Ratio
EV/EBITDA³	18.77	38.99	17.27	11.72	15.02	15.54
Benchmarks
EV/EBITDA, Competitors⁴
Carnival Corp. & plc	—	—	8.11	9.21	13.22	—
McDonald’s Corp.	17.49	21.03	17.65	16.58	14.42	—
EV/EBITDA, Sector
Consumer Services	28.72	68.84	15.24	13.30	14.31	—
EV/EBITDA, Industry
Consumer Discretionary	20.54	28.08	17.22	14.73	14.84	—

Based on: 10-K (reporting date: 2021-10-03), 10-K (reporting date: 2020-09-27), 10-K (reporting date: 2019-09-29), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-10-01), 10-K (reporting date: 2016-10-02).

¹ See details »

² See details »

³ 2021 Calculation
EV/EBITDA = EV ÷ EBITDA
= 137,971,696 ÷ 7,350,800 = 18.77

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.	Starbucks Corp. EV/EBITDA ratio increased from 2019 to 2020 but then slightly decreased from 2020 to 2021 not reaching 2019 level.

Starbucks Corp. (NASDAQ:SBUX)

Enterprise Value to EBITDA (EV/EBITDA)

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

Enterprise Value to EBITDA Ratio, Current

Enterprise Value to EBITDA Ratio, Historical