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Toshiba EV/EBIT

What is the EV/EBIT of Toshiba?

The EV/EBIT of Toshiba Corp. is 73.61

What is the definition of EV/EBIT?



Enterprise value to earnings before interest and taxes (EV/EBIT) is a financial ratio used to measure if a stock is priced appropriately to similar stocks and the market. It is similar to the P/E ratio.

ttm (trailing twelve months)

The EV/EBIT ratio addresses some of the shortcomings of the P/E ratio. Instead of taking market capitalization, the ratio uses enterprise value, as it takes into account the true value of the company. Enterprise value includes both equity and debt. It is calculated as:

Enterprise value = market cap + total debt – cash and cash equivalents

The EV/EBIT ratio is useful in comparing peers within the wider market. A high EV/EBIT ratio indicates that a company’s stock is overvalued. On the opposite, a low EV/EBIT ratio indicates that a company’s stock is undervalued. The lower the ratio, the more financially stable a company should be. However, investors and analyst should use other ratios and information to get a full picture of a company’s financial state and actual value.

EV/EBIT of companies in the Industrials sector on OTC compared to Toshiba

What does Toshiba do?

Toshiba Corporation, together with its subsidiaries, provides electronic devices and storage solutions worldwide. It operates through seven segments: Energy Systems & Solutions, Infrastructure Systems & Solutions, Building Solutions, Retail & Printing Solutions, Electronic Devices & Storage Solutions, Digital Solutions, and Others. The company provides energy systems and solutions, including nuclear, thermal, and renewable energy power generation systems; transmission and distribution, hydrogen energy, and heavy-ion therapy systems; and energy digital services. It also offers infrastructure systems and solutions, such as water supply and wastewater treatment, traffic control, defense and electronic, railway transportation, substation, broadcasting and network, security and automation, and motor/drive systems; and building solutions comprising elevators, escalators, building facilities, electrical construction materials, lighting equipment, airport ground lighting systems, stage and studio lighting systems, automotive light sources, industrial light sources and UV modules, air conditioners, multi systems for buildings, heat pump hot water supply systems, ventilating systems, refrigeration, and cold-chain equipment. In addition, the company provides retail and printing solutions, including POS systems, multifunction peripherals, automatic identification systems, and inkjet heads; electronic devices and storage solutions, such as semiconductors, analog integrated circuits (ICs), microcontrollers, automotive digital ICs, semiconductor manufacturing equipment, thermal print heads, and ceramics; and digital solutions comprising AI/analytics, ICT infrastructure, IoT solutions, security solutions, and managed services. Further, it offers rechargeable lithium-ion batteries, modules, and packs; and computers and tablets, visual products, and home appliances. Toshiba Corporation was founded in 1875 and is headquartered in Tokyo, Japan.

Companies with ev/ebit similar to Toshiba