Enterprise Value to EBITDA (EV/EBITDA)
Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
AstraZeneca PLC, EBITDA calculation
US$ in millions
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
| 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. | AstraZeneca PLC EBITDA decreased from 2012 to 2013 and from 2013 to 2014. |
Enterprise Value to EBITDA Ratio, Current
AstraZeneca PLC, current EV/EBITDA calculation, comparison to benchmarks
| Selected Financial Data (US$ in millions) | |
| Enterprise value (EV) | 85,268) |
| Earnings before interest, tax, depreciation and amortization (EBITDA) | 4,911) |
| Valuation Ratio | |
| EV/EBITDA | 17.36 |
| Benchmarks | |
| EV/EBITDA, Competitors1 | |
| AbbVie Inc. | 19.13 |
| Amgen Inc. | 13.40 |
| Bristol-Myers Squibb Co. | 6.12 |
| Danaher Corp. | 26.04 |
| Eli Lilly & Co. | 83.96 |
| Gilead Sciences Inc. | 9.45 |
| Johnson & Johnson | 15.37 |
| Merck & Co. Inc. | 52.16 |
| Pfizer Inc. | 21.23 |
| Regeneron Pharmaceuticals Inc. | 18.92 |
| Thermo Fisher Scientific Inc. | 22.28 |
| Zoetis Inc. | 21.02 |
Based on: 20-F (reporting date: 2014-12-31).
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
AstraZeneca PLC, historical EV/EBITDA calculation, comparison to benchmarks
| Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | Dec 31, 2010 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Enterprise value (EV)1 | 85,268) | 81,919) | 63,866) | 55,465) | 67,179) | |
| Earnings before interest, tax, depreciation and amortization (EBITDA)2 | 4,911) | 8,238) | 10,640) | 15,321) | 14,168) | |
| Valuation Ratio | ||||||
| EV/EBITDA3 | 17.36 | 9.94 | 6.00 | 3.62 | 4.74 | |
| Benchmarks | ||||||
| EV/EBITDA, Competitors4 | ||||||
| AbbVie Inc. | — | — | — | — | — | |
| Amgen Inc. | — | — | — | — | — | |
| Bristol-Myers Squibb Co. | — | — | — | — | — | |
| Danaher Corp. | — | — | — | — | — | |
| Eli Lilly & Co. | — | — | — | — | — | |
| Gilead Sciences Inc. | — | — | — | — | — | |
| Johnson & Johnson | — | — | — | — | — | |
| Merck & Co. Inc. | — | — | — | — | — | |
| Pfizer Inc. | — | — | — | — | — | |
| Regeneron Pharmaceuticals Inc. | — | — | — | — | — | |
| Thermo Fisher Scientific Inc. | — | — | — | — | — | |
| Zoetis Inc. | — | — | — | — | — | |
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
3 2014 Calculation
EV/EBITDA = EV ÷ EBITDA
= 85,268 ÷ 4,911 = 17.36
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. | AstraZeneca PLC EV/EBITDA ratio increased from 2012 to 2013 and from 2013 to 2014. |