Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).
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. | Marriott International Inc. EBITDA decreased from 2017 to 2018 and from 2018 to 2019. |
Enterprise Value to EBITDA Ratio, Current
Selected Financial Data (US$ in millions) | |
Enterprise value (EV) | 37,405) |
Earnings before interest, tax, depreciation and amortization (EBITDA) | 2,396) |
Valuation Ratio | |
EV/EBITDA | 15.61 |
Benchmarks | |
EV/EBITDA, Competitors1 | |
Airbnb Inc. | 36.94 |
Booking Holdings Inc. | 24.28 |
Chipotle Mexican Grill Inc. | — |
McDonald’s Corp. | 17.84 |
Starbucks Corp. | 16.25 |
EV/EBITDA, Sector | |
Consumer Services | 25.36 |
EV/EBITDA, Industry | |
Consumer Discretionary | 36.81 |
Based on: 10-K (reporting date: 2019-12-31).
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, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
---|---|---|---|---|---|---|
Selected Financial Data (US$ in millions) | ||||||
Enterprise value (EV)1 | 49,504) | 51,303) | 58,357) | 41,398) | 20,472) | |
Earnings before interest, tax, depreciation and amortization (EBITDA)2 | 2,396) | 2,969) | 3,414) | 1,586) | 1,561) | |
Valuation Ratio | ||||||
EV/EBITDA3 | 20.66 | 17.28 | 17.09 | 26.10 | 13.11 | |
Benchmarks | ||||||
EV/EBITDA, Competitors4 | ||||||
Airbnb Inc. | — | — | — | — | — | |
Booking Holdings Inc. | 10.49 | — | — | — | — | |
Chipotle Mexican Grill Inc. | 34.03 | — | — | — | — | |
McDonald’s Corp. | 17.65 | — | — | — | — | |
Starbucks Corp. | 17.27 | 11.72 | — | — | — | |
EV/EBITDA, Sector | ||||||
Consumer Services | 16.04 | — | — | — | — | |
EV/EBITDA, Industry | ||||||
Consumer Discretionary | 17.75 | — | — | — | — |
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).
3 2019 Calculation
EV/EBITDA = EV ÷ EBITDA
= 49,504 ÷ 2,396 = 20.66
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. | Marriott International Inc. EV/EBITDA ratio increased from 2017 to 2018 and from 2018 to 2019. |