EBITDA stands for ‘earnings before interest, taxes, depreciation and amortisation’. It is calculated by taking away the above figures from a company’s total revenue, to give an idea of the profit made ...

There are all sorts of ways in which investors measure the financial health of a company. They’ll look at sales and cash flow. They’ll consider various assets and any outstanding debt. Beyond these ...

There are multiple layers to a modern corporation's profitability. If you're an analyst or private equity investor considering a stake, you'll want multiple ways of looking at it. In addition to net ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

EBITDA, an acronym for earnings before interest, taxes, depreciation and amortization, is a crucial metric to assess a company’s financial performance. It indicates a company’s operational ...

Investing comes with risk, so it’s necessary to thoroughly research investments before you make them. One popular metric that analysts and other financial advisors use for determining the success of a ...

Earnings before interest, taxes, depreciation, and amortization — discussed more commonly using the acronym EBITDA — has become a popular standard by which to measure business performance. Public ...

Explore the strengths and pitfalls of EBITDA. Understand how it differs from cash flow and its role in assessing a company's financial health.

In Berkshire Hathaway’s annual report to shareholders, Warren Buffett expressed disdain for financial reporting practices that deliberately inflate earnings figures in an attempt to “make the numbers.

EBITDA is a way of evaluating a company’s performance without factoring in financial decisions or the tax environment. The literal meaning of EBITDA is ‘earnings before interest, taxes, depreciation ...