FREE TOOL · NO ACCOUNT NEEDED · LIVE DATA
Enterprise Value Calculator
Calculate enterprise value for any stock. See how market cap, total debt, and cash combine into EV — the full acquisition price of the business — and whether its EV multiples signal cheap or expensive against the sector.
Inputs
Enter any US-listed ticker. The calculator fetches live market cap, total debt, and cash to compute enterprise value — the full acquisition price of the business.
Results
Loading live AAPL data…
Fetching market cap, debt, and cash. Results appear in a moment.
What Is Enterprise Value?
Enterprise value (EV) is the total price an acquirer would pay to own an entire business. Where market cap measures only the equity, EV adds the debt the buyer must assume and subtracts the cash they get to keep. It is calculated as:
| Formula | What it captures |
|---|---|
| Market Cap + Total Debt + Preferred + Minority Interest − Cash | The full cost of owning the whole business, net of its cash |
Because it folds debt and cash into a single figure, enterprise value lets you compare a leveraged company against a cash-rich one on equal footing — something raw market cap cannot do. This is why EV-based multiples dominate M&A and private-equity valuation.
How to Read Your EV Multiples
| EV/EBITDA vs Sector Median | Signal |
|---|---|
| More than 20% below median | Cheap — market values the whole business below peers per dollar of EBITDA |
| Within 20% of median | Fair — priced roughly in line with the sector |
| More than 20% above median | Expensive — premium valuation, market expects superior growth |
How the Enterprise Value Calculator Works
EV vs Market Cap
Market cap is what you pay shareholders. Enterprise value is what it actually costs to control the company: you buy the equity, take on the debt, and pocket the cash. For debt-heavy businesses, EV is far larger than market cap; for cash-rich ones, EV can be smaller.
Why Debt and Cash Matter
An acquirer inherits the target's debt and gains its cash. A company with $50B of cash is effectively $50B cheaper to buy than its market cap suggests. Ignoring the balance sheet — as market cap does — overstates the price of cash-rich companies and understates leveraged ones.
EV Multiples: EBITDA, Revenue, EBIT
Dividing EV by EBITDA, revenue, or operating income (EBIT) produces capital-structure-neutral multiples. EV/EBITDA is the workhorse of M&A; EV/Revenue suits unprofitable growth companies; EV/EBIT accounts for the depreciation intensity EBITDA ignores.
Why Berkshire Thinks in EV Terms
Buffett frames acquisitions around what a whole business is worth, not its share price. EV is the number a strategic buyer or private-equity firm underwrites — the true cost of ownership after accounting for the balance sheet on both sides.
How to Use This Calculator
Enter a ticker
Type any US-listed ticker and click Calculate. The tool fetches live market cap, total debt, and cash from Yahoo Finance.
Read the EV headline
See the full enterprise value alongside market cap, so you can gauge how much the balance sheet moves the price of ownership.
Break down the components
The component view shows market cap, debt added, and cash subtracted — and each as a share of enterprise value.
Compare EV multiples
EV/EBITDA, EV/Revenue, and EV/EBIT are each scored cheap, fair, or expensive against the sector median.
Frequently Asked Questions
Can enterprise value be lower than market cap?
Yes. When a company holds more cash and short-term investments than debt, its net debt is negative, and enterprise value falls below market cap. This is common for cash-rich technology companies with little or no debt — the market cap overstates what it would actually cost to acquire them.
Does enterprise value include preferred stock and minority interest?
Yes. The complete formula adds preferred stock and minority (non-controlling) interest to market cap and debt, then subtracts cash. Both represent claims on the business an acquirer must account for. For most companies these are small or zero, so market cap plus net debt is a close approximation.
Why do private-equity firms use enterprise value?
Because EV is the actual purchase price of a business. A buyout firm pays for the equity, refinances or assumes the debt, and uses the target's cash. Modeling returns on enterprise value — not market cap — is the only way to underwrite a deal accurately.
What is a typical EV/EBITDA for the S&P 500?
The S&P 500 has historically traded at an EV/EBITDA of roughly 11–14×, though it varies with interest rates and sentiment. Sector medians differ widely: energy and financials sit lower (7–10×), while technology and communication services trade higher (15–18×). This calculator compares your stock to its sector.
When is enterprise value not useful?
EV is less meaningful for banks and insurers, where debt is part of operations rather than financing, and for companies with negative EBITDA where the ratio breaks down. For financials, use price-to-book or price-to-earnings instead. EV also relies on an accurate, up-to-date balance sheet.
How is enterprise value different from equity value?
Equity value (market cap) is what belongs to shareholders. Enterprise value is what belongs to all capital providers — equity holders and debt holders — net of cash. To move from EV back to equity value, subtract debt and add cash. The two answer different questions: what the shares are worth versus what the whole business is worth.
More tools & guides
FINISHED THE NUMBERS?
A calculator gives you one number. The report gives you the argument.
Assumptions, scenarios, and what breaks them — on any public company.
See a sample report →