i What this calculator does
Quick answer: Work out enterprise value from market capitalisation, debt and cash, and the EV/EBITDA multiple that follows from it. With the default inputs (share price 185.50, shares in issue 1 180), it returns enterprise value of R223 840m.
Enterprise value is what it would cost to buy the whole business: the equity plus the debt you inherit, less the cash that comes with it. It is the price of the operations rather than the price of the shares.
The reason it matters is comparison. Two companies with identical operations and different debt loads have different market capitalisations but similar enterprise values, which is why EV/EBITDA travels better across companies than the P/E does.
This calculator is for educational purposes only. Results are estimates and may vary depending on market conditions, spreads, commissions, platform settings, and exchange rates. It should not be considered financial advice.
How to use the Enterprise Value Calculator
There is no blank form to complete. The inputs arrive with working values, and changing one at a time is what shows you the effect.
- 1. Share Price (R)
- 2. Shares in Issue (million)
- 3. Total Debt (R million)
- 4. Cash and Equivalents (R million)
- 5. Minority Interests (R million)
- 6. EBITDA (R million)
The result panel reports:
- Enterprise Value Cost of the whole business
- EV / EBITDA The comparable multiple
Alongside the headline figures, the calculator reports market capitalisation, total debt, cash, net debt to market cap. Those are the numbers that usually explain why the headline result came out where it did.
The breakdown under the result shows the full working, which matters when the answer is surprising.
See also: Discounted Cash Flow Calculator and P/E Ratio Calculator.
Common results
What the calculator returns as the share price changes, with every other input at its default (shares in issue 1 180, total debt 6 800, cash and equivalents 2 300, minority interests 450, ebitda 5 600).
| Share Price | Enterprise Value | Ev / Ebitda | Net Debt |
|---|---|---|---|
| R50 | R63 950m | 11.42 | R4 500m |
| R100 | R122 950m | 21.96 | R4 500m |
| R200 | R240 950m | 43.03 | R4 500m |
| R400 | R476 950m | 85.17 | R4 500m |
| R750 | R889 950m | 158.92 | R4 500m |
| R1 500 | R1 774 950m | 316.96 | R4 500m |
Figures used in this calculator
The South African constants this calculator relies on, with the page that holds the current value and the date it was last verified.
- Company tax: 27%. Source: Company Tax Rates Reference (verified 29 September 2026).
- Securities Transfer Tax: 0.25% on share purchases. Source: JSE Trading Cost Schedule (verified 27 September 2026).
- JSE trading hours: 09:00 to 17:00 SAST. Source: JSE Trading Hours and Holidays (verified 27 September 2026).
How the calculation works
The calculator takes six inputs: Share Price, Shares in Issue, Total Debt, Cash and Equivalents, Minority Interests and EBITDA. The market cap is R185.50 x 1 180m = R218 890m. The net debt is R6 800m - R2 300m = R4 500m. The ev is R218 890m + R4 500m + R450m = R223 840m. The ev/ebitda is R223 840m / R5 600m = 39.97. The breakdown also lists share price, shares in issue, market capitalisation and plus total debt.
A worked example in rand
With the default inputs (share price R185.50, shares in issue 1 180 million, total debt 6 800 R million, cash and equivalents 2 300 R million, minority interests 450 R million and EBITDA 5 600 R million), the calculator returns a enterprise value of R223 840m, cost of the whole business. It also reports ev / ebitda 39.97 and net debt R4 500m. Double the share price to 371 and the enterprise value moves from R223 840m to R442 730m and the ev / ebitda moves from 39.97 to 79.06. Note that the net debt stays the same; it is set by the other inputs.
How to read the result
With these inputs the calculator's own verdict reads: "Net debt is 2% of market capitalisation." The verdict changes as the inputs cross the thresholds the calculator uses, and it is the fastest way to see which side of them you are on. Valuation ratios only mean something against a benchmark: the sector, the share's own history, or the market. A P/E of 12 is cheap for a software company and expensive for a mining house. The background to this calculation is in What Is the Value of Trading Certifications?.
The South African angle
Three things change the picture for a South African trader using the enterprise value calculator. Dual-listed companies such as the large miners and Richemont trade on the JSE at a rand price that tracks the foreign listing, so their rand valuation ratios move with the exchange rate daily. A tax-free savings account can hold JSE ETFs but not individual shares, which is why valuation of single shares matters most for taxable accounts. JSE companies report under IFRS and many present headline earnings per share, a South African measure that strips out certain items, alongside basic EPS; the two can differ materially. The figures behind these points, and the ones the enterprise value calculator itself uses, are on the JSE indices reference.
Spotted an outdated figure? If a rate, limit or formula in this calculator no longer matches its source, email us the page and the source. A material correction is dated on the Updates Log.
Frequently asked questions
Why not just use market capitalisation?
Because it ignores debt. A company worth R100 million in equity with R200 million of debt costs a buyer R300 million, not R100 million. Market cap prices the shares; enterprise value prices the business.
Why subtract cash?
Because a buyer acquiring the company also acquires the cash, which offsets part of the purchase price. Cash on the balance sheet effectively reduces what the operations cost.
What is a normal EV/EBITDA?
It varies by sector and cycle. Six to ten times is common for mature industrials, lower for cyclical resource businesses and higher for companies with recurring revenue. As with the P/E, the comparison that matters is against the sector and the company's own history.
Why include minority interests?
Because the consolidated EBITDA includes the full earnings of partly owned subsidiaries, while the market capitalisation only reflects the parent's shareholders. Adding minorities makes the numerator and denominator consistent.
Is EV/EBITDA better than the P/E?
For comparing companies with different debt levels and tax positions, yes. EBITDA sits above interest and tax, so it is closer to a like-for-like operating figure. It also ignores the capital a business must spend, which is its main weakness.
Where do I find these figures?
The balance sheet in the annual or interim report gives debt, cash and minorities. EBITDA is usually disclosed directly in JSE results announcements, or can be built from operating profit plus depreciation and amortisation.
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