Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
Based on: 10-K (reporting date: 2024-07-31), 10-K (reporting date: 2023-07-31), 10-K (reporting date: 2022-07-31), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-31), 10-K (reporting date: 2019-07-31).
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. | Palo Alto Networks Inc. EBITDA increased from 2022 to 2023 and from 2023 to 2024. |
Enterprise Value to EBITDA Ratio, Current
Selected Financial Data (US$ in thousands) | |
Enterprise value (EV) | 112,769,492) |
Earnings before interest, tax, depreciation and amortization (EBITDA) | 1,279,900) |
Valuation Ratio | |
EV/EBITDA | 88.11 |
Benchmarks | |
EV/EBITDA, Competitors1 | |
Accenture PLC | 16.74 |
Adobe Inc. | 20.38 |
Cadence Design Systems Inc. | 41.98 |
CrowdStrike Holdings Inc. | 288.26 |
International Business Machines Corp. | 21.86 |
Intuit Inc. | 36.98 |
Microsoft Corp. | 21.20 |
Oracle Corp. | 21.86 |
Palantir Technologies Inc. | 376.78 |
Salesforce Inc. | 22.75 |
ServiceNow Inc. | 68.85 |
Synopsys Inc. | 34.53 |
Workday Inc. | 54.18 |
EV/EBITDA, Sector | |
Software & Services | 24.37 |
EV/EBITDA, Industry | |
Information Technology | 27.57 |
Based on: 10-K (reporting date: 2024-07-31).
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
Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | Jul 31, 2019 | ||
---|---|---|---|---|---|---|---|
Selected Financial Data (US$ in thousands) | |||||||
Enterprise value (EV)1 | 107,728,092) | 74,503,582) | 52,961,254) | 45,934,338) | 22,049,558) | 19,111,289) | |
Earnings before interest, tax, depreciation and amortization (EBITDA)2 | 1,279,900) | 875,700) | 102,800) | (41,300) | 63,000) | 163,100) | |
Valuation Ratio | |||||||
EV/EBITDA3 | 84.17 | 85.08 | 515.19 | — | 349.99 | 117.18 | |
Benchmarks | |||||||
EV/EBITDA, Competitors4 | |||||||
Accenture PLC | 19.87 | 17.26 | 14.25 | 23.31 | 17.46 | 15.60 | |
Adobe Inc. | 22.06 | 34.07 | 22.32 | 35.44 | 43.06 | 41.16 | |
Cadence Design Systems Inc. | 42.25 | 55.61 | 42.11 | 39.61 | 45.75 | — | |
CrowdStrike Holdings Inc. | 262.20 | — | — | — | — | — | |
International Business Machines Corp. | 22.90 | 14.41 | 22.17 | 12.53 | 12.28 | — | |
Intuit Inc. | 38.55 | 38.71 | 36.22 | 51.96 | 35.70 | 34.27 | |
Microsoft Corp. | 23.66 | 22.92 | 20.17 | 24.59 | 21.74 | 17.21 | |
Oracle Corp. | 21.81 | 21.80 | 17.12 | 13.78 | 11.54 | 11.83 | |
Palantir Technologies Inc. | 551.39 | 175.93 | — | — | — | — | |
Salesforce Inc. | 31.64 | 38.31 | 38.88 | 33.83 | 49.45 | — | |
ServiceNow Inc. | 87.89 | 96.48 | 104.30 | 147.45 | 220.91 | — | |
Synopsys Inc. | 39.17 | 54.59 | 36.73 | 53.43 | 42.24 | 26.98 | |
Workday Inc. | 86.37 | 216.44 | 147.90 | 670.04 | — | — | |
EV/EBITDA, Sector | |||||||
Software & Services | 27.09 | 25.22 | 22.55 | 25.68 | 23.25 | — | |
EV/EBITDA, Industry | |||||||
Information Technology | 27.60 | 23.59 | 18.31 | 20.49 | 19.71 | — |
Based on: 10-K (reporting date: 2024-07-31), 10-K (reporting date: 2023-07-31), 10-K (reporting date: 2022-07-31), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-31), 10-K (reporting date: 2019-07-31).
3 2024 Calculation
EV/EBITDA = EV ÷ EBITDA
= 107,728,092 ÷ 1,279,900 = 84.17
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. | Palo Alto Networks Inc. EV/EBITDA ratio decreased from 2022 to 2023 and from 2023 to 2024. |