GURUFOCUS.COM » STOCK LIST » Communication Services » Telecommunication Services » Safaricom PLC (NAI:SCOM) » Definitions » EV-to-EBITDA

Safaricom (NAI:SCOM) EV-to-EBITDA : 5.13 (As of May. 19, 2024)


View and export this data going back to 2008. Start your Free Trial

What is Safaricom EV-to-EBITDA?

EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, Safaricom's enterprise value is KES837,302 Mil. Safaricom's EBITDA for the trailing twelve months (TTM) ended in Mar. 2024 was KES163,293 Mil. Therefore, Safaricom's EV-to-EBITDA for today is 5.13.

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

NAI:SCOM' s EV-to-EBITDA Range Over the Past 10 Years
Min: 4.59   Med: 8.76   Max: 13.2
Current: 5.13

During the past 13 years, the highest EV-to-EBITDA of Safaricom was 13.20. The lowest was 4.59. And the median was 8.76.

NAI:SCOM's EV-to-EBITDA is ranked better than
69.18% of 331 companies
in the Telecommunication Services industry
Industry Median: 6.93 vs NAI:SCOM: 5.13

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.

As of today (2024-05-19), Safaricom's stock price is KES17.40. Safaricom's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2024 was KES1.570. Therefore, Safaricom's PE Ratio for today is 11.08.

The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio.


Safaricom EV-to-EBITDA Historical Data

The historical data trend for Safaricom's EV-to-EBITDA 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.

Safaricom EV-to-EBITDA Chart

Safaricom Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
EV-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.31 10.77 9.92 6.43 5.89

Safaricom Semi-Annual Data
Sep14 Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24
EV-to-EBITDA Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 9.92 - 6.43 - 5.89

Competitive Comparison of Safaricom's EV-to-EBITDA

For the Telecom Services subindustry, Safaricom's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA 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.


Safaricom's EV-to-EBITDA Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Safaricom's EV-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Safaricom's EV-to-EBITDA falls into.



Safaricom EV-to-EBITDA Calculation

Safaricom's EV-to-EBITDA for today is calculated as:

EV-to-EBITDA=Enterprise Value (Today)/EBITDA (TTM)
=837302.347/163292.6
=5.13

Safaricom's current Enterprise Value is KES837,302 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Safaricom's EBITDA for the trailing twelve months (TTM) ended in Mar. 2024 was KES163,293 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.


Safaricom  (NAI:SCOM) EV-to-EBITDA Explanation

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.

Safaricom's PE Ratio for today is calculated as:

PE Ratio=Share Price (Today)/Earnings per Share (Diluted) (TTM)
=17.40/1.570
=11.08

Safaricom's share price for today is KES17.40.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Safaricom's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2024 was KES1.570.

* 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.

Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio.

Please read Which price ratio outperforms the enterprise multiple?


Safaricom EV-to-EBITDA Related Terms

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


Safaricom (NAI:SCOM) Business Description

Traded in Other Exchanges
N/A
Address
Safaricom House, Waiyaki Way, P.O. Box 66827, Westlands, Nairobi, KEN, 00800
Safaricom PLC is a Kenya-based telecommunications company. The principal activities of the company are the provision of telecommunication services, providing a comprehensive range of integrated telecommunication services including voice and data both mobile and fixed, SMS, the internet, and m-pesa. The company also offers a wide range of devices such as Mobile handsets, mobile broadband modems, routers, tablets, and notebooks. The majority of its revenue comes from service revenues: Voice, m-pesa, mobile data, messaging, fixed data and other service revenue. The company serves both individual and corporate/enterprise customers.

Safaricom (NAI:SCOM) Headlines