Explore jobs
Find specific jobs
Explore careers
Explore professions
Best companies
Explore companies
This question is about employer.
What is a good EV/EBITDA ratio?
A good EV/EBITDA ratio can vary, this depends on the industry the organization is in, the scale of the business, and the specific organization being analyzed. In general, however, a lower EV/EBITDA ratio points to a cheaper valuation, while a higher EV/EBITDA ratio indicates a more expensive valuation.
The EV/EBITDA ratio is a valuation metric that is used to gauge the relative value of a company's enterprise value (EV) when compared to its earnings before interest, taxes, depreciation, and amortization (EBITDA).
As a rough rule, an EV/EBITDA ratio of below the number 10 tends to be considered a good one by many companies, again though, this can vary depending on specific factors, such as industry, growth prospects, profitability, debt levels, and others.
However, investors should not only rely on this single measurement when assessing the value of a company. It is crucial to consider several different factors and to also compare these factors with the valuation of other organizations in the same industry.
Choose from 10+ customizable resume templates
Zippia allows you to choose from different easy-to-use templates, and provides you with expert advice. Using the templates, you can rest assured that the structure and format of your resume is top notch. Choose a template with the colors, fonts & text sizes that are appropriate for your industry.
