Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
Based on: 10-K (reporting date: 2023-12-31), 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).
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. | Charter Communications Inc. EBITDA increased from 2021 to 2022 but then slightly decreased from 2022 to 2023. |
Enterprise Value to EBITDA Ratio, Current
Selected Financial Data (US$ in millions) | |
Enterprise value (EV) | 147,057) |
Earnings before interest, tax, depreciation and amortization (EBITDA) | 20,738) |
Valuation Ratio | |
EV/EBITDA | 7.09 |
Benchmarks | |
EV/EBITDA, Competitors1 | |
Alphabet Inc. | 21.17 |
Comcast Corp. | 6.58 |
Meta Platforms Inc. | 23.39 |
Netflix Inc. | 17.95 |
Walt Disney Co. | 17.21 |
EV/EBITDA, Sector | |
Media & Entertainment | 18.92 |
EV/EBITDA, Industry | |
Communication Services | 15.56 |
Based on: 10-K (reporting date: 2023-12-31).
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
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
---|---|---|---|---|---|---|
Selected Financial Data (US$ in millions) | ||||||
Enterprise value (EV)1 | 147,057) | 160,595) | 197,065) | 205,933) | 191,615) | |
Earnings before interest, tax, depreciation and amortization (EBITDA)2 | 20,738) | 20,921) | 19,770) | 17,854) | 16,154) | |
Valuation Ratio | ||||||
EV/EBITDA3 | 7.09 | 7.68 | 9.97 | 11.53 | 11.86 | |
Benchmarks | ||||||
EV/EBITDA, Competitors4 | ||||||
Alphabet Inc. | 17.01 | 14.66 | 18.08 | 20.84 | 17.39 | |
Comcast Corp. | 7.10 | 9.60 | 8.45 | 10.36 | 8.66 | |
Meta Platforms Inc. | 19.72 | 12.19 | 10.85 | 17.31 | 17.76 | |
Netflix Inc. | 11.85 | 8.40 | 9.51 | 16.57 | 13.35 | |
Walt Disney Co. | 17.34 | 17.80 | 34.53 | 60.13 | 16.10 | |
EV/EBITDA, Sector | ||||||
Media & Entertainment | 15.56 | 12.91 | 14.62 | 18.67 | 14.92 | |
EV/EBITDA, Industry | ||||||
Communication Services | 12.91 | 11.74 | 11.57 | 14.51 | 11.51 |
Based on: 10-K (reporting date: 2023-12-31), 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).
3 2023 Calculation
EV/EBITDA = EV ÷ EBITDA
= 147,057 ÷ 20,738 = 7.09
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. | Charter Communications Inc. EV/EBITDA ratio decreased from 2021 to 2022 and from 2022 to 2023. |