The Enterprise Value to Operating Profit Ratio, or EV / EBIT Ratio, contrasts a company’s Enterprise Value to its EBIT. It is defined as Enterprise Value divided by EBIT. This is measured on a TTM basis.
EBIT stands for Earnings Before Interest and Tax.
It is a measure of a company’s earnings before they adjusted to account for Interest and Tax, which are not related directly to operational performance.
EV to Operating Profit (or EV to EBIT) is similar to EV/EBITDA, with which it shares the advantage of valuing a company regardless of its capital structure.
It is less commonly used since it doesn't add back depreciation and amortisation.
This is measured on a TTM basis.
Ticker | Name | EV / EBIT | StockRank™ |
---|---|---|---|
LON:MTRO | Metro Bank Holdings | -50.15 | 52 |
LON:N91 | Ninety One | -44.72 | 92 |
LON:ARBB | Arbuthnot Banking | -13.97 | 75 |
LON:TCAP | TP Icap | -6.73 | 96 |
LON:IHP | Integrafin Holdings | -5.33 | 73 |