Enterprise Value Calculator

✖Market Capitalization is a measure of the total market value of a publicly traded company's outstanding shares of stock.ⓘ Market Capitalization [MC]			+10% -10%
✖Total Debt of Company refers to the sum of all its outstanding liabilities and obligations that require the company to make payments in the future.ⓘ Total Debt of Company [TDC]			+10% -10%
✖Cash and Cash Equivalents refer to assets that are readily convertible into cash and have a short-term maturity of typically three months or less from the date of purchase.ⓘ Cash and Cash Equivalents [C]			+10% -10%

✖Enterprise Value is a comprehensive measure of a company's total value, representing the theoretical takeover price required to acquire the entire business.ⓘ Enterprise Value [E_V]

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Formula

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Enterprise Value

Formula

`"E"_{"V"} = "MC"+"TDC"-"C"`

Example

`"950999"="931000"+"12000000"-"11980001"`

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Enterprise Value Solution

STEP 0: Pre-Calculation Summary

Formula Used

Enterprise Value = Market Capitalization+Total Debt of Company-Cash and Cash Equivalents
E_V = MC+TDC-C
This formula uses 4 Variables

Variables Used

Enterprise Value - Enterprise Value is a comprehensive measure of a company's total value, representing the theoretical takeover price required to acquire the entire business.
Market Capitalization - Market Capitalization is a measure of the total market value of a publicly traded company's outstanding shares of stock.
Total Debt of Company - Total Debt of Company refers to the sum of all its outstanding liabilities and obligations that require the company to make payments in the future.
Cash and Cash Equivalents - Cash and Cash Equivalents refer to assets that are readily convertible into cash and have a short-term maturity of typically three months or less from the date of purchase.

STEP 1: Convert Input(s) to Base Unit

Market Capitalization: 931000 --> No Conversion Required
Total Debt of Company: 12000000 --> No Conversion Required
Cash and Cash Equivalents: 11980001 --> No Conversion Required

STEP 2: Evaluate Formula

Substituting Input Values in Formula

E_V = MC+TDC-C --> 931000+12000000-11980001

Evaluating ... ...

E_V = 950999

STEP 3: Convert Result to Output's Unit

950999 --> No Conversion Required

FINAL ANSWER

950999 <-- Enterprise Value

(Calculation completed in 00.004 seconds)

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Created by Vishnu K

BMS College of Engineering (BMSCE), Bangalore

Vishnu K has created this Calculator and 200+ more calculators!

Verified by Nayana Phulphagar

Institute of Chartered and Financial Analysts of India National college (ICFAI National College), HUBLI

Nayana Phulphagar has verified this Calculator and 1400+ more calculators!

< 9 Performance Ratio Calculators

Economic Value Added

Go Economic Value Added = Net Operating Profit After Tax-Weighted Average Cost of Capital*Total Invested Capital

Cash Flow per Share

Go Cash Flow per Share = (Operating Cash Flow-Preferred Dividends)/Total Common Shares Outstanding

Enterprise Value

Go Enterprise Value = Market Capitalization+Total Debt of Company-Cash and Cash Equivalents

Market Capitalization

Go Market Capitalization = Current Share Price*Total Shares Outstanding

Market to Book Ratio

Go Market to Book value = Market Capitalization/Book Value of Equity

Return on Equity using Shareholder's Equity

Go Return on Equity = (Net Income/Average Shareholders' Equity)*100

Cash Return on Assets

Go Cash Return on Assets = Operating Cash Flow/Total Average Assets

Cash to Net Income ratio

Go Cash Flow to Income = Operating Cash Flow/Net Income

Cash Flow to Sales

Go Cash Flow to Sales = Operating Cash Flow/Sales

Enterprise Value Formula

Enterprise Value = Market Capitalization+Total Debt of Company-Cash and Cash Equivalents
E_V = MC+TDC-C

What is Enterprise Value?

Enterprise Value (EV) is a comprehensive measure of a company's total value, representing the theoretical takeover price required to acquire the entire business. It takes into account not only the market value of a company's equity (its market capitalization) but also its debt, cash, and other financial assets or liabilities. Enterprise Value is often used by investors, analysts, and acquirers to assess a company's worth in its entirety.
Enterprise Value provides a more comprehensive picture of a company's value compared to market capitalization alone because it considers both equity and debt. It is commonly used in financial analysis, particularly in valuation metrics such as the EV/EBITDA (Enterprise Value to Earnings Before Interest, Taxes, Depreciation, and Amortization) ratio, which helps assess a company's valuation relative to its earnings.

How to Calculate Enterprise Value?

Enterprise Value calculator uses Enterprise Value = Market Capitalization+Total Debt of Company-Cash and Cash Equivalents to calculate the Enterprise Value, The Enterprise Value formula is defined as a comprehensive measure of a company's total value, representing the theoretical takeover price required to acquire the entire business. Enterprise Value is denoted by E_V symbol.

How to calculate Enterprise Value using this online calculator? To use this online calculator for Enterprise Value, enter Market Capitalization (MC), Total Debt of Company (TDC) & Cash and Cash Equivalents (C) and hit the calculate button. Here is how the Enterprise Value calculation can be explained with given input values -> 950999 = 931000+12000000-11980001.

FAQ

What is Enterprise Value?

The Enterprise Value formula is defined as a comprehensive measure of a company's total value, representing the theoretical takeover price required to acquire the entire business and is represented as E_V = MC+TDC-C or Enterprise Value = Market Capitalization+Total Debt of Company-Cash and Cash Equivalents. Market Capitalization is a measure of the total market value of a publicly traded company's outstanding shares of stock, Total Debt of Company refers to the sum of all its outstanding liabilities and obligations that require the company to make payments in the future & Cash and Cash Equivalents refer to assets that are readily convertible into cash and have a short-term maturity of typically three months or less from the date of purchase.

How to calculate Enterprise Value?

The Enterprise Value formula is defined as a comprehensive measure of a company's total value, representing the theoretical takeover price required to acquire the entire business is calculated using Enterprise Value = Market Capitalization+Total Debt of Company-Cash and Cash Equivalents. To calculate Enterprise Value, you need Market Capitalization (MC), Total Debt of Company (TDC) & Cash and Cash Equivalents (C). With our tool, you need to enter the respective value for Market Capitalization, Total Debt of Company & Cash and Cash Equivalents and hit the calculate button. You can also select the units (if any) for Input(s) and the Output as well.

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