Enterprise Value Solution

STEP 0: Pre-Calculation Summary
Formula Used
Enterprise Value = Market Capitalization+Total Debt of Company-Cash and Cash Equivalents
EV = 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
EV = MC+TDC-C --> 931000+12000000-11980001
Evaluating ... ...
EV = 950999
STEP 3: Convert Result to Output's Unit
950999 --> No Conversion Required
FINAL ANSWER
950999 <-- Enterprise Value
(Calculation completed in 00.004 seconds)

Credits

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Created by Vishnu K
BMS College of Engineering (BMSCE), Bangalore
Vishnu K has created this Calculator and 200+ more calculators!
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Verified by Nayana Phulphagar
Institute of Chartered and Financial Analysts of India National college (ICFAI National College), HUBLI
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Performance Ratio Calculators

Return on Equity using Shareholder's Equity
​ LaTeX ​ Go Return on Equity = (Net Income/Average Shareholders' Equity)*100
Cash Return on Assets
​ LaTeX ​ Go Cash Return on Assets = Operating Cash Flow/Total Average Assets
Cash to Net Income ratio
​ LaTeX ​ Go Cash Flow to Income = Operating Cash Flow/Net Income
Cash Flow to Sales
​ LaTeX ​ Go Cash Flow to Sales = Operating Cash Flow/Sales

Enterprise Value Formula

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