EV/EBITDA Calculator
Build enterprise value from equity value, debt, cash, minority interest and preferred, then divide by EBITDA and test a target multiple.
Quick answer
EV/EBITDA compares a company's enterprise value to its EBITDA. Enterprise value = equity value + debt + minority interest + preferred equity - cash, and the multiple is EV divided by EBITDA.
EV/EBITDA Calculator
Optional with market cap; needed for per-share values.
EV / EBITDA
—
Enterprise Value
—
Net Debt
—
Implied EV at Target
—
Implied Equity Value
—
Implied vs. Current Equity
—
Implied Value per Share
—
Implied Value at Nearby Multiples
| Multiple | Implied EV (₹) | Implied Equity (₹) | vs. Current Equity |
|---|
Assumptions & method
- Enterprise value = equity value + debt + minority interest + preferred equity − cash and equivalents.
- EV/EBITDA = enterprise value ÷ EBITDA. Net debt = debt − cash.
- Implied EV = EBITDA × target multiple. Implied equity = implied EV − debt − minority interest − preferred + cash.
- Per-share values need a share count. EBITDA must be above zero for the multiple to be meaningful.
- Leases, pension deficits and non-operating assets are not adjusted for unless you include them in debt or cash. Results are estimates.
Results are estimates based on the figures you enter. They are not guarantees and not financial advice.
How EV/EBITDA works
Enterprise value is the price of the whole operating business. It starts with the market value of equity, adds the claims of lenders, minority holders and preferred shareholders, and subtracts the cash a buyer would effectively get back. EBITDA is a rough proxy for operating cash earnings before financing, tax and non-cash charges. Dividing one by the other shows how many years of EBITDA the business is priced at, which makes companies with different debt, tax and depreciation policies easier to compare. Applying a target multiple in reverse gives an implied value, useful for what-if comparisons.