Apple Enterprise Value vs Invested Capital Average Analysis

Enterprise Value vs Invested Capital Average

Enterprise Value

Enterprise Value (or EV) is usually referred to as Apple theoretical takeover price. In the event of an acquisition, an acquirer would have to take on Apple Inc debt, but would also pocket its cash. Enterprise Value is more accurate representation of Apple value then its market capitalization because it takes into account all of Apple Inc existing debt. Enterprise value is a measure of the value of a business as a whole, calculated as Market Capitalization plus Total Debt USD minus Cash and Equivalents USD.

Invested Capital Average

Average invested capital value for the period used in the calculation of Return on Invested Capital, and derived from Invested Capital. Invested capital is an input into the calculation of Return on Invested Capital, and is calculated as: Total Debt plus Total Assets minus Goodwill and Intangible Assets minus Cash and Equivalents minus Current Liabilities. Please note this calculation method is subject to change.
Accounts Relationship
Enterprise Value vs Invested Capital Average

Significance: Almost Identical Trend

Overlapping area represents amount of trend that can be explained by analyzing historical patterns of Apple Inc Enterprise Value account and Invested Capital Average

Correlation Coefficient

0.91
Relationship DirectionPositive 
Relationship StrengthVery Strong