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ARM Holdings (ARM Holdings) EV-to-EBIT : 958.11 (As of May. 20, 2024)


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What is ARM Holdings EV-to-EBIT?

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, ARM Holdings's Enterprise Value is $112,098 Mil. ARM Holdings's EBIT for the trailing twelve months (TTM) ended in Mar. 2024 was $117 Mil. Therefore, ARM Holdings's EV-to-EBIT for today is 958.11.

The historical rank and industry rank for ARM Holdings's EV-to-EBIT or its related term are showing as below:

ARM' s EV-to-EBIT Range Over the Past 10 Years
Min: 103.11   Med: 897.28   Max: 3181.92
Current: 958.11

During the past 4 years, the highest EV-to-EBIT of ARM Holdings was 3181.92. The lowest was 103.11. And the median was 897.28.

ARM's EV-to-EBIT is ranked worse than
99.25% of 669 companies
in the Semiconductors industry
Industry Median: 23.96 vs ARM: 958.11

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. ARM Holdings's Enterprise Value for the quarter that ended in Mar. 2024 was $127,329 Mil. ARM Holdings's EBIT for the trailing twelve months (TTM) ended in Mar. 2024 was $117 Mil. ARM Holdings's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was 0.09%.

ARM Holdings EV-to-EBIT Historical Data

The historical data trend for ARM Holdings's EV-to-EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

ARM Holdings EV-to-EBIT Chart

ARM Holdings Annual Data
Trend Mar21 Mar22 Mar23 Mar24
EV-to-EBIT
- - - 1,088.28

ARM Holdings Quarterly Data
Mar21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
EV-to-EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 347.88 1,632.18 1,088.28

Competitive Comparison of ARM Holdings's EV-to-EBIT

For the Semiconductors subindustry, ARM Holdings's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

ARM Holdings's EV-to-EBIT Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, ARM Holdings's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where ARM Holdings's EV-to-EBIT falls into.


ARM Holdings EV-to-EBIT Calculation

ARM Holdings's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=112098.470/117
=958.11

ARM Holdings's current Enterprise Value is $112,098 Mil.
ARM Holdings's EBIT for the trailing twelve months (TTM) ended in Mar. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $117 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

ARM Holdings  (NAS:ARM) EV-to-EBIT Explanation

This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %.

ARM Holdings's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2024 is calculated as:

Earnings Yield (Joel Greenblatt) % (Q: Mar. 2024 ) =EBIT / Enterprise Value (Q: Mar. 2024 )
=117/127328.8467
=0.09 %

ARM Holdings's Enterprise Value for the quarter that ended in Mar. 2024 was $127,329 Mil.
ARM Holdings's EBIT for the trailing twelve months (TTM) ended in Mar. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $117 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

ARM Holdings EV-to-EBIT Related Terms

Thank you for viewing the detailed overview of ARM Holdings's EV-to-EBIT provided by GuruFocus.com. Please click on the following links to see related term pages.

ARM Holdings (ARM Holdings) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Technology » Semiconductors » ARM Holdings PLC (NAS:ARM) » Definitions » EV-to-EBIT
Comparable Companies
NXPI MRVL MCHP ON MU GFS ADI MPWR SWKS QRVO NVDA TPE:2330 AVGO AMD INTC TXN QCOM XKRX:000660 TPE:2454 XTER:IFX
Traded in Other Exchanges
ARM:Mexico O9T:Germany O9T:Germany O9T:Germany
Address
110 Fulbourn Road, Cambridge, GBR, CB1 9NJ
Website
https://www.arm.com
Arm Holdings is the IP owner and developer of the ARM architecture (ARM stands for Acorn RISC Machine), which is used in 99% of the world's smartphone CPU cores, and it also has high market share in other battery-powered devices like wearables, tablets, or sensors. Arm licenses its architecture for a fee, offering different types of licenses depending on the flexibility the customer needs. Customers like Apple or Qualcomm buy architectural licenses, which allows them to modify the architecture and add or delete instructions to tailor the chips to their specific needs. Other clients directly buy off-the-shelf designs from Arm. Both off-the-shelf and architectural customers pay a royalty fee per chip shipped.