Enterprise Value to EBITDA (EV/EBITDA)
Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
Albemarle Corp., 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. | Albemarle Corp. EBITDA decreased from 2020 to 2021 but then increased from 2021 to 2022 exceeding 2020 level. |
Enterprise Value to EBITDA Ratio, Current
Albemarle Corp., current EV/EBITDA calculation, comparison to benchmarks
| Selected Financial Data (US$ in thousands) | |
| Enterprise value (EV) | 22,214,822) |
| Earnings before interest, tax, depreciation and amortization (EBITDA) | 3,629,533) |
| Valuation Ratio | |
| EV/EBITDA | 6.12 |
| Benchmarks | |
| EV/EBITDA, Competitors1 | |
| Linde plc | 18.60 |
| EV/EBITDA, Industry | |
| Materials | 16.57 |
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
Albemarle Corp., 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 | 33,896,614) | 24,588,783) | 21,240,189) | 11,695,034) | 11,082,644) | |
| Earnings before interest, tax, depreciation and amortization (EBITDA)2 | 3,629,533) | 544,864) | 806,140) | 963,697) | 1,137,068) | |
| Valuation Ratio | ||||||
| EV/EBITDA3 | 9.34 | 45.13 | 26.35 | 12.14 | 9.75 | |
| Benchmarks | ||||||
| EV/EBITDA, Competitors4 | ||||||
| Linde plc | 18.36 | 16.23 | 17.70 | 15.17 | — | |
| EV/EBITDA, Industry | ||||||
| Materials | 13.49 | 12.02 | 14.14 | 12.12 | — | |
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
= 33,896,614 ÷ 3,629,533 = 9.34
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. | Albemarle Corp. EV/EBITDA ratio increased from 2020 to 2021 but then decreased significantly from 2021 to 2022. |