Enterprise value (EV) is a measure of the value of a company regardless of its financing. It is calculated as follows:
EV = market capitalization - cash + debt.
Dividing enterprise value by turnover provides an important key figure for assessing the valuation of fast-growing but still loss-making technology companies.
EV / Sales current refers to the enterprise value at the current point in time. The current market capitalization and the values for cash, debt and sales from the last quarterly figures are used for this purpose.
EV/Sales simply explained
Point distribution for HGI score
- 3 Pts.
- ≤ 8
- 2 Pts.
- > 8 and ≤ 10
- 1 Pts.
- > 10 and ≤ 12
Data for Palo Alto Networks
Enterprise Value
USD110.11b
Turnover or sales (TTM Aug 01 2023 - Jul 31 2024)
USD8.03b
Calculation for Palo Alto Networks
EV / Sales current
= 110,109.98 / 8,027.50
13.72
The best tech stocks with low EV/sales worldwide