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EVA Metrics Cheat Sheet. Financial intelligence for finding alpha. The Path to Financial Truth. The EBITDAR to EBITDA Gap. * EBITDAR is earnings before interest, taxes, depreciation, amortization and rent (and other adjustments, as shown) Italics indicates data unavailable in Compustat.
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EVA Metrics Cheat Sheet Financial intelligence for finding alpha The Path to Financial Truth
The EBITDAR to EBITDA Gap * EBITDAR is earnings before interest, taxes, depreciation, amortization and rent (and other adjustments, as shown) Italics indicates data unavailable in Compustat
The EBITDA to EVA Gap * Amortization applies to finite life intangibles, and to R&D and Ad spending that is written off over time ** Intangibles excludes Goodwill, but includes indefinite and finite life book intangibles and the deferred portions of R&D and Ad spending *** Goodwill impairments do not reduce the balance sheet, but rather, the EVA, which in turn marks the asset to market value **** Mere write-downs are non-events – the entries are reversed; Cash invested in restructuring is added to capital and must earn a return, too