Enterprise Value to EBITDA (EV/EBITDA)
Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
Align Technology Inc., EBITDA calculation
US$ in thousands
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
| 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. | Align Technology Inc. EBITDA increased from 2020 to 2021 but then slightly decreased from 2021 to 2022 not reaching 2020 level. |
Enterprise Value to EBITDA Ratio, Current
Align Technology Inc., current EV/EBITDA calculation, comparison to benchmarks
| Selected Financial Data (US$ in thousands) | |
| Enterprise value (EV) | 14,122,171) |
| Earnings before interest, tax, depreciation and amortization (EBITDA) | 724,850) |
| Valuation Ratio | |
| EV/EBITDA | 19.48 |
| Benchmarks | |
| EV/EBITDA, Competitors1 | |
| Abbott Laboratories | 20.01 |
| Cigna Group | 11.46 |
| CVS Health Corp. | 6.71 |
| Elevance Health Inc. | 7.86 |
| Humana Inc. | 5.57 |
| Intuitive Surgical Inc. | 80.22 |
| Medtronic PLC | 15.35 |
| UnitedHealth Group Inc. | 16.09 |
| EV/EBITDA, Sector | |
| Health Care Equipment & Services | 15.23 |
| EV/EBITDA, Industry | |
| Health Care | 14.48 |
Based on: 10-K (reporting date: 2022-12-31).
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
Align Technology Inc., historical EV/EBITDA calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Enterprise value (EV)1 | 22,338,984) | 39,216,076) | 43,916,116) | 16,327,126) | 19,979,482) | |
| Earnings before interest, tax, depreciation and amortization (EBITDA)2 | 724,850) | 1,121,152) | 472,487) | 634,113) | 512,685) | |
| Valuation Ratio | ||||||
| EV/EBITDA3 | 30.82 | 34.98 | 92.95 | 25.75 | 38.97 | |
| Benchmarks | ||||||
| EV/EBITDA, Competitors4 | ||||||
| Abbott Laboratories | 15.85 | 17.42 | 25.99 | 21.70 | — | |
| Cigna Group | 8.88 | 9.06 | 6.31 | 8.42 | — | |
| CVS Health Corp. | 12.42 | 10.41 | 8.56 | 9.43 | — | |
| Elevance Health Inc. | 10.26 | 10.05 | 7.57 | 9.05 | — | |
| Humana Inc. | 11.59 | 11.22 | 6.91 | 9.30 | — | |
| Intuitive Surgical Inc. | 41.52 | 44.54 | 59.12 | 37.53 | — | |
| Medtronic PLC | 14.99 | 24.41 | 17.92 | 16.01 | — | |
| UnitedHealth Group Inc. | 15.11 | 17.39 | 13.39 | 13.82 | — | |
| EV/EBITDA, Sector | ||||||
| Health Care Equipment & Services | 13.86 | 15.20 | 12.74 | 12.95 | — | |
| EV/EBITDA, Industry | ||||||
| Health Care | 13.35 | 13.31 | 16.61 | 14.16 | — | |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
3 2022 Calculation
EV/EBITDA = EV ÷ EBITDA
= 22,338,984 ÷ 724,850 = 30.82
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. | Align Technology Inc. EV/EBITDA ratio decreased from 2020 to 2021 and from 2021 to 2022. |