Enterprise Value to EBITDA (EV/EBITDA)

Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
EV to EBITDA Ratio, Current
EV to EBITDA Ratio, Historical

Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)

Sherwin-Williams Co., EBITDA calculation

US$ in thousands

12 months ended:	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	2,388,800)	2,020,100)	1,864,400)	2,030,400)	1,541,300)
Add: Income tax expense	721,100)	553,000)	384,200)	488,800)	440,500)
Earnings before tax (EBT)	3,109,900)	2,573,100)	2,248,600)	2,519,200)	1,981,800)
Add: Interest expense	417,500)	390,800)	334,700)	340,400)	349,300)
Earnings before interest and tax (EBIT)	3,527,400)	2,963,900)	2,583,300)	2,859,600)	2,331,100)
Add: Depreciation	292,300)	264,000)	263,100)	268,000)	262,100)
Add: Amortization of intangible assets	330,200)	317,100)	309,500)	313,400)	312,800)
Earnings before interest, tax, depreciation and amortization (EBITDA)	4,149,900)	3,545,000)	3,155,900)	3,441,000)	2,906,000)

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).

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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.	Sherwin-Williams Co. EBITDA increased from 2021 to 2022 and from 2022 to 2023.

Enterprise Value to EBITDA Ratio, Current

Sherwin-Williams Co., current EV/EBITDA calculation, comparison to benchmarks

Selected Financial Data (US$ in thousands)
Enterprise value (EV)	98,725,131)
Earnings before interest, tax, depreciation and amortization (EBITDA)	4,149,900)
Valuation Ratio
EV/EBITDA	23.79
Benchmarks
EV/EBITDA, Competitors¹
Linde plc	18.10
EV/EBITDA, Sector
Chemicals	19.53
EV/EBITDA, Industry
Materials	15.70

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

Sherwin-Williams Co., historical EV/EBITDA calculation, comparison to benchmarks

	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Selected Financial Data (US$ in thousands)
Enterprise value (EV)¹	88,778,727)	67,907,905)	79,026,380)	72,301,976)	61,400,310)
Earnings before interest, tax, depreciation and amortization (EBITDA)²	4,149,900)	3,545,000)	3,155,900)	3,441,000)	2,906,000)
Valuation Ratio
EV/EBITDA³	21.39	19.16	25.04	21.01	21.13
Benchmarks
EV/EBITDA, Competitors⁴
Linde plc	18.88	18.36	16.23	17.70	15.17
EV/EBITDA, Sector
Chemicals	19.51	18.57	18.35	18.67	16.78
EV/EBITDA, Industry
Materials	15.61	14.17	13.46	17.97	16.34

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).

¹ See details »

² See details »

³ 2023 Calculation
EV/EBITDA = EV ÷ EBITDA
= 88,778,727 ÷ 4,149,900 = 21.39

⁴ Click competitor name to see calculations.

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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.	Sherwin-Williams Co. EV/EBITDA ratio decreased from 2021 to 2022 but then slightly increased from 2022 to 2023.

Sherwin-Williams Co. (NYSE:SHW)

Enterprise Value to EBITDA (EV/EBITDA)

Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)

Enterprise Value to EBITDA Ratio, Current

Enterprise Value to EBITDA Ratio, Historical