Enterprise Value Breakdown
Calculate the Enterprise Value (EV) breakdown, providing a detailed view of its components.
The Enterprise Value breakdown includes the following components for each quarter or year:
- Share Price: The market price per share of the company’s stock.
- Market Capitalization (Market Cap): The total value of a company’s outstanding common shares, i.e. the share price multiplied by the shares outstanding. Preferred shares are excluded here and enter as their own component below, so that they are counted once rather than twice.
- Debt: The sum of long-term and short-term debt on the company’s balance sheet.
- Preferred Equity: The value of preferred shares, if applicable.
- Minority Interest: The equity value of a subsidiary with less than 50% ownership.
- Cash and Cash Equivalents: The cash and the investments that are readily convertible to cash within three months, such as money market funds and Treasury bills.
- Short Term Investments: The marketable securities that are not cash equivalents.
Cash and marketable securities are deducted together (Damodaran), the same Enterprise Value as toolkit.ratios.get_enterprise_value returns.
The formula is as follows:
\[\text{Market Capitalization} = \text{Share Price} \cdot \text{Weighted Average Shares Diluted} (\text{Weighted Average Shares when diluted} = \text{False}),\;\; \text{with the share price the traded close at the end of each quarter or year}\] \[\text{Enterprise Value} = \text{Market Capitalization} + \text{Total Debt} + \text{Preferred Equity} + \text{Minority Interest} - \text{Cash and Cash Equivalents} - \text{Short Term Investments}\]This breakdown is displayed in a DataFrame for each company and includes the option to show growth values as well.
Also known as: EV breakdown, enterprise value components, EV bridge.
Enterprise Value Breakdown in Python or via the MCP
Install the Finance Toolkit with:
pip install financetoolkit -U
Then call get_enterprise_value_breakdown as shown below.
from financetoolkit import Toolkit
toolkit = Toolkit(
["F"],
api_key="FINANCIAL_MODELING_PREP_KEY",
start_date="2021-01-01",
end_date="2025-12-31",
)
toolkit.models.get_enterprise_value_breakdown().loc[
["Market Capitalization", "Total Debt", "Cash and Cash Equivalents", "Enterprise Value"]
]
Or, after setting up the Finance Toolkit MCP, ask:
How did Ford's enterprise value break down into market capitalization, debt and cash from 2021 to 2025?
Which returns:
| 2021 | 2022 | 2023 | 2024 | 2025 | |
|---|---|---|---|---|---|
| Market Capitalization | 8.37862e+10 | 4.66828e+10 | 4.92598e+10 | 3.98079e+10 | 5.22045e+10 |
| Total Debt | 1.39485e+11 | 1.40474e+11 | 1.51107e+11 | 1.60862e+11 | 1.67573e+11 |
| Cash and Cash Equivalents | 2.054e+10 | 2.5134e+10 | 2.4862e+10 | 2.2935e+10 | 2.3356e+10 |
| Enterprise Value | 1.73781e+11 | 1.43012e+11 | 1.60221e+11 | 1.62345e+11 | 1.81318e+11 |
Parameters
get_enterprise_value_breakdown accepts the following parameters.
| Parameter | Type | Description | Example |
|---|---|---|---|
diluted | bool | Whether to use diluted shares in the calculation. Defaults to True. | False |
rounding | int | None | The number of decimals to round the results to. Defaults to None, which uses the rounding of the Toolkit (4 unless set otherwise). | 2 |
growth | bool | Whether to calculate the growth of the values. Defaults to False. | True |
lag | int | list[int] | The lag to use for the growth calculation. Defaults to 1. | 4 |
standardize | bool | Whether to standardize (Z-Score) the result. When combined with growth=True, standardizes the growth values instead of the raw values. Defaults to False. | True |
show_columns | list[str] | None | Restrict the result to these columns. Defaults to None, which shows all columns. | ["Market Capitalization", "Enterprise Value"] |