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Enterprise Value Calculator

Compute EV from market cap (or price×shares), debt, minority interest, preferred equity, and cash & equivalents. Includes examples and notes.

Calculate Enterprise Value

Market Capitalization

If left blank, market cap will be computed as share price × diluted shares outstanding.

Share Price × Diluted Shares
Capital Structure

Your Results

$500,000,000
Enterprise Value (EV)
Market Cap
$0
Total Debt
$1B
Minority Interest
$0
Preferred Equity
$0
Cash & Equivalents
$500M

Notes

  • EV definition per CFA Institute and Damodaran valuation materials.

Categories & Definitions

Enterprise Value (EV)

Market Cap + Total Debt + Minority Interest + Preferred Equity − Cash & Equivalents.

Market Capitalization

Share price × diluted shares outstanding (or vendor-reported market cap).

How to Calculate EV

Formula

EV = Market Cap + Total Debt + Minority Interest + Preferred Equity − Cash & Equivalents
Sources:CFA Institute,Damodaran (NYU Stern),SEC EDGAR
  1. 1
    Gather inputs
    Market cap (or price × shares), total debt, cash, minority interest, preferred equity
  2. 2
    Normalize
    Ensure values are consolidated and consistent with reporting basis
  3. 3
    Apply formula
    Add financing sources and subtract cash to arrive at EV

Example Cases

Case 1: Market Cap Provided

Market Cap $8.0B, Debt $1.2B, Cash $0.6B → EV = $8.6B

Case 2: Price × Shares

Price $50 × 120M shares = $6.0B Market Cap; Debt $2.0B; Cash $0.4B → EV = $7.6B

Frequently Asked Questions

What is Enterprise Value (EV)?
EV represents the total value of a company available to all providers of capital. It equals market cap plus total debt, minority interest, and preferred equity, minus cash & equivalents.
How do you get market capitalization?
Market cap is typically share price multiplied by diluted shares outstanding. Many data sources (Bloomberg/Refinitiv) provide it directly.
Why subtract cash & equivalents?
Excess cash is not required to operate core assets and reduces the net cost to acquire operating assets; therefore it is subtracted in EV.
Should I include minority interest and preferred equity?
Yes. To align the numerator (EV) with consolidated operating results, non-common financing like minority interest and preferred equity are added.
Authoritative references
CFA Institute curriculum (Corporate Finance) and Aswath Damodaran’s valuation notes (NYU Stern) define EV consistently as used here.

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