Starbucks Corp
NASDAQ:SBUX
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EV/EBIT
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
EV/EBIT Valuation Scenarios
If EV/EBIT returns to its 3-Year Average (24.6), the stock would be worth $69.9 (34% downside :side from current price).
| Scenario | EV/EBIT Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 37.4 | $106.19 |
0%
|
| 3-Year Average | 24.6 | $69.9 |
-34%
|
| 5-Year Average | 25 | $70.91 |
-33%
|
| Industry Average | 18.1 | $51.28 |
-52%
|
| Country Average | 19.6 | $55.68 |
-48%
|
Forward EV/EBIT
Today's price vs future EBIT
| Current Enterprise Value | EBIT | Forward EV/EBIT | ||
|---|---|---|---|---|
|
$131.4B
|
/ |
Dec 2025
$3.5B
|
= |
|
|
$131.4B
|
/ |
Sep 2026
$4.2B
|
= |
|
|
$131.4B
|
/ |
Sep 2027
$5.1B
|
= |
|
|
$131.4B
|
/ |
Sep 2028
$6.1B
|
= |
|
|
$131.4B
|
/ |
Sep 2029
$6.5B
|
= |
|
|
$131.4B
|
/ |
Sep 2030
$7.3B
|
= |
|
|
$131.4B
|
/ |
Sep 2031
$7.1B
|
= |
|
|
$131.4B
|
/ |
Sep 2032
$7.5B
|
= |
|
|
$131.4B
|
/ |
Sep 2033
$8B
|
= |
|
Forward EV/EBIT shows whether today's EV/EBIT still looks high or low once future EBIT are taken into account.
