Enter the market capitalization, minority interest, preffed shares, value of debt, and cash to calculate the enterprise value.
Enterprise Value Formula
The following formula is used to calculate the enterprise value of a company.
EV = MC + D + MI + PS – C
- Where EV is the enterprise value
- Enterprise value is a measure of the total value of a company with respect to the values above
- MC is the market cap
- Market Capitalization is the value of all of the outstanding shares of a company
- D is the debt
- debt is the amount of outstanding monetary commitments
- MI is the minority interest
- equity owned by an investor or company with less than 50% interest
- PS is the preferred shares
- stocks that have claim to a companies assets
- C is the cash
- cash and cash equivalents
Enterprise Value Definition
Enterprise value is a financial term used to describe the value of a company based on market cap, debt, minority interest, preferred shares, and cash.
How to calculate Enterprise Value?
How to calculate enterprise value?
- First, determine the market cap.
Calculate the total market capitalization of the company.
- Next, determine the total debt.
Measure the total debt owned by the company.
- Next, determine the minority interest.
Calculate the equity owned by the minority investors.
- Next, determine the preferred shares.
Measure the total number of preferred shares.
- Next, determine the cash.
Measure the cash and cash equivalents owned by the company.
- Finally, calculate the enterprise value.
Using the formula above, calculate the enterprise value.
FAQ
Enterprise value is a measure of the value of a company that goes further than just the market cap since it takes into account debt and other factors. It’s typically a better indicator of the “true” value of a company.
Enterprise value is typically used in the finance sector for determining good investments.
Simply use the calculator above.
Related Terms
| enterprise value calculator |
| enterprise value formula |
| how to calculate enterprise value |
| enterprise value calculation |
| enterprise value equation |
| how to find enterprise value |
| enterprise value calculation example |
| enterprise valuation formula |
| total enterprise value calculation |
| firm value formula |
| how to calculate enterprise value from balance sheet |
| how to calculate firm value |
| how do you calculate enterprise value |
| how to calculate enterprise value of a private company |
| total enterprise value formula |
| net debt calculation for enterprise value |
| enterprise value calc |
| enterprise value formula minority interest |
| how to calculate equity value from enterprise value |
| enterprise value formula private company |
| how to calculate enterprise value of a company |
| calculate firm value |
| calculate enterprise value from balance sheet |
| how to determine enterprise value |
| enterprise value is computed as |
| how to compute enterprise value |
| how to find enterprise value of a company |
| how to calculate total enterprise value |
| how to calculate enterprise value for private company |
| equity value to enterprise value formula |
| total firm value calculator |
| total corporate value formula |
| enterprise value calculation formula |
| enterprise value multiple formula |
| implied enterprise value formula |
| equity value formula from enterprise value |
| enterprise value calculation private company |
| enterprise value how to calculate |
| how enterprise value is calculated |
| enterprise valuation calculation |
| enterprise value calculator online |
| how to calculate share price from enterprise value |
| estimated enterprise value |
| value of firm equation |
| calculate enterprise value from ebitda |
| enterprise value computation |
| calculate enterprise value from free cash flow |
| total value of firm formula |
| how to calculate enterprise value using ebitda |
| enterprise value formula for private company |
