National Grid PLC
SWB:NNGF
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Snap Inc
NYSE:SNAP
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US |
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.
Valuation Scenarios
If EV/EBIT returns to its 3-Year Average (16.1), the stock would be worth €12.28 (19% downside from current price).
| Scenario | EV/EBIT Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 19.9 | €15.1 |
0%
|
| 3-Year Average | 16.1 | €12.28 |
-19%
|
| 5-Year Average | 16.9 | €12.89 |
-15%
|
| Industry Average | 0.1 | €0.08 |
-99%
|
| Country Average | 0 | €0.02 |
-100%
|
Forward EV/EBIT
Today’s price vs future ebit
| Today's Enterprise Value | EBIT | Forward EV/EBIT | ||
|---|---|---|---|---|
|
€106.5B
|
/ |
Oct 2025
£5.2B
|
= |
|
|
€106.5B
|
/ |
Mar 2026
£5.9B
|
= |
|
|
€106.5B
|
/ |
Mar 2027
£6.8B
|
= |
|
|
€106.5B
|
/ |
Mar 2028
£7.6B
|
= |
|
|
€106.5B
|
/ |
Mar 2029
£8.4B
|
= |
|
Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.
Peer Comparison
| Market Cap | EV/EBIT | P/E | ||||
|---|---|---|---|---|---|---|
| UK |
|
National Grid PLC
SWB:NNGF
|
64.3B EUR | 19.9 | 22.2 | |
| FR |
|
Engie SA
PAR:ENGI
|
68.8B EUR | 12.6 | 19.3 | |
| US |
|
Sempra Energy
NYSE:SRE
|
60.8B USD | 30.5 | 33.9 | |
| DE |
|
E.ON SE
XETRA:EOAN
|
48.7B EUR | 12.3 | 28.1 | |
| US |
|
Dominion Energy Inc
NYSE:D
|
55B USD | 20.5 | 18.6 | |
| US |
S
|
Sempra
VSE:SREN
|
43.4B EUR | 27 | 27.8 | |
| DE |
|
RWE AG
XETRA:RWE
|
42.8B EUR | 35.2 | 13.7 | |
| US |
|
Public Service Enterprise Group Inc
NYSE:PEG
|
40.2B USD | 21.2 | 19 | |
| US |
|
Consolidated Edison Inc
NYSE:ED
|
39.4B USD | 22.3 | 19.5 | |
| US |
|
WEC Energy Group Inc
NYSE:WEC
|
37.3B USD | 24.5 | 24 | |
| DE |
|
E ON SE
MIL:EOAN
|
31.3B EUR | 35.4 | 26.7 |
Market Distribution
| Min | 0 |
| 30th Percentile | 0 |
| Median | 0 |
| 70th Percentile | 0.1 |
| Max | 1 015 |
Other Multiples
National Grid PLC
Glance View
National Grid PLC is an energy giant that plays a pivotal role in powering economies and ensuring the smooth flow of electricity and gas across vast landscapes. At its core, National Grid operates as a transmission company, owning and managing extensive networks of electricity and gas that form the backbone of energy infrastructure in the UK and northeastern United States. The company is like a master conductor in the complex orchestra of energy vital for connecting power generators with homes and businesses. This seamless operation involves an intricate dance of technology and logistics to ensure that energy is not only delivered efficiently but also reliably, adhering to stringent regulations and leveraging state-of-the-art systems to monitor and respond to demands in real-time. National Grid primarily makes its money through regulated revenues, derived from the rates it charges utility companies for using its transmission networks. These rates are determined by regulatory bodies, offering the company a stable and predictable income stream. Moreover, while the foundations of its business are rooted in these regulated activities, National Grid has also been investing significantly in renewable energy projects and smart grid technologies. This diversification strategy aims to position the company at the forefront of the energy transition towards a more sustainable future. Through these endeavors, National Grid not only bolsters its own financial health but also plays a crucial role in supporting wider environmental goals and policies aimed at reducing carbon emissions.