What makes a stock overvalued or undervalued? Financial metrics like earnings before interest, taxes, depreciation and amortization, or EBITDA, help investors determine a company's valuation and ...
4. Used in Valuation Metrics: EBITDA is often used in valuation formulas, such as EV/EBITDA (Enterprise Value to EBITDA), which helps investors determine whether a company is overvalued or ...