Enterprise Value to EBITDA (EV/EBITDA)
Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
Phillips 66, EBITDA calculation
US$ in millions
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).
| 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. | Phillips 66 EBITDA increased from 2017 to 2018 but then slightly decreased from 2018 to 2019 not reaching 2017 level. |
Enterprise Value to EBITDA Ratio, Current
Phillips 66, current EV/EBITDA calculation, comparison to benchmarks
| Selected Financial Data (US$ in millions) | |
| Enterprise value (EV) | 51,629) |
| Earnings before interest, tax, depreciation and amortization (EBITDA) | 5,977) |
| Valuation Ratio | |
| EV/EBITDA | 8.64 |
| Benchmarks | |
| EV/EBITDA, Competitors1 | |
| Chevron Corp. | 6.46 |
| ConocoPhillips | 6.42 |
| Exxon Mobil Corp. | 6.57 |
| Marathon Petroleum Corp. | 5.04 |
| Occidental Petroleum Corp. | 5.95 |
| Pioneer Natural Resources Co. | 7.29 |
| Valero Energy Corp. | 4.14 |
| EV/EBITDA, Sector | |
| Oil, Gas & Consumable Fuels | 11.32 |
| EV/EBITDA, Industry | |
| Energy | 12.73 |
Based on: 10-K (reporting date: 2019-12-31).
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
Phillips 66, historical EV/EBITDA calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Enterprise value (EV)1 | 51,629) | 54,931) | 55,363) | 49,493) | 48,895) | |
| Earnings before interest, tax, depreciation and amortization (EBITDA)2 | 5,977) | 9,305) | 5,311) | 3,697) | 7,432) | |
| Valuation Ratio | ||||||
| EV/EBITDA3 | 8.64 | 5.90 | 10.42 | 13.39 | 6.58 | |
| Benchmarks | ||||||
| EV/EBITDA, Competitors4 | ||||||
| Chevron Corp. | 6.39 | — | — | — | — | |
| ConocoPhillips | 4.13 | — | — | — | — | |
| Exxon Mobil Corp. | 6.91 | — | — | — | — | |
| Marathon Petroleum Corp. | 7.23 | — | — | — | — | |
| Occidental Petroleum Corp. | 10.32 | — | — | — | — | |
| Pioneer Natural Resources Co. | 8.69 | — | — | — | — | |
| Valero Energy Corp. | 6.00 | — | — | — | — | |
| EV/EBITDA, Sector | ||||||
| Oil, Gas & Consumable Fuels | 6.59 | — | — | — | — | |
| EV/EBITDA, Industry | ||||||
| Energy | 7.54 | — | — | — | — | |
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).
3 2019 Calculation
EV/EBITDA = EV ÷ EBITDA
= 51,629 ÷ 5,977 = 8.64
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. | Phillips 66 EV/EBITDA ratio decreased from 2017 to 2018 but then increased from 2018 to 2019 not reaching 2017 level. |