Stock Analysis on Net

Walmart Inc. (NYSE:WMT)

Enterprise Value to EBITDA (EV/EBITDA)

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

Walmart Inc., EBITDA calculation

US$ in millions

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12 months ended: Jan 31, 2024 Jan 31, 2023 Jan 31, 2022 Jan 31, 2021 Jan 31, 2020 Jan 31, 2019
Consolidated net income attributable to Walmart 15,511 11,680 13,673 13,510 14,881 6,670
Add: Net income attributable to noncontrolling interest 759 (388) 267 196 320 509
Add: Income tax expense 5,578 5,724 4,756 6,858 4,915 4,281
Earnings before tax (EBT) 21,848 17,016 18,696 20,564 20,116 11,460
Add: Interest expense, debt and finance lease 2,683 2,128 1,994 2,315 2,599 2,346
Earnings before interest and tax (EBIT) 24,531 19,144 20,690 22,879 22,715 13,806
Add: Depreciation and amortization 11,853 10,945 10,658 11,152 10,987 10,678
Earnings before interest, tax, depreciation and amortization (EBITDA) 36,384 30,089 31,348 34,031 33,702 24,484

Based on: 10-K (reporting date: 2024-01-31), 10-K (reporting date: 2023-01-31), 10-K (reporting date: 2022-01-31), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-01-31).

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. Walmart Inc. EBITDA decreased from 2022 to 2023 but then increased from 2023 to 2024 exceeding 2022 level.

Enterprise Value to EBITDA Ratio, Current

Walmart Inc., current EV/EBITDA calculation, comparison to benchmarks

Microsoft Excel
Selected Financial Data (US$ in millions)
Enterprise value (EV) 528,365
Earnings before interest, tax, depreciation and amortization (EBITDA) 36,384
Valuation Ratio
EV/EBITDA 14.52
Benchmarks
EV/EBITDA, Competitors1
Costco Wholesale Corp. 29.61
Target Corp. 10.94
EV/EBITDA, Sector
Consumer Staples Distribution & Retail 19.85
EV/EBITDA, Industry
Consumer Staples 18.65

Based on: 10-K (reporting date: 2024-01-31).

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

Walmart Inc., historical EV/EBITDA calculation, comparison to benchmarks

Microsoft Excel
Jan 31, 2024 Jan 31, 2023 Jan 31, 2022 Jan 31, 2021 Jan 31, 2020 Jan 31, 2019
Selected Financial Data (US$ in millions)
Enterprise value (EV)1 532,474 418,859 436,928 408,829 374,682 336,210
Earnings before interest, tax, depreciation and amortization (EBITDA)2 36,384 30,089 31,348 34,031 33,702 24,484
Valuation Ratio
EV/EBITDA3 14.63 13.92 13.94 12.01 11.12 13.73
Benchmarks
EV/EBITDA, Competitors4
Costco Wholesale Corp. 22.66 21.19 22.64 21.69 20.13
Target Corp. 10.37 13.52 9.00 10.35 8.50 7.49
EV/EBITDA, Sector
Consumer Staples Distribution & Retail 15.84 14.18 13.50 12.30 13.73
EV/EBITDA, Industry
Consumer Staples 16.73 16.63 15.91 15.18 18.37

Based on: 10-K (reporting date: 2024-01-31), 10-K (reporting date: 2023-01-31), 10-K (reporting date: 2022-01-31), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-01-31).

1 See details »

2 See details »

3 2024 Calculation
EV/EBITDA = EV ÷ EBITDA
= 532,474 ÷ 36,384 = 14.63

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. Walmart Inc. EV/EBITDA ratio decreased from 2022 to 2023 but then increased from 2023 to 2024 exceeding 2022 level.