[originally posted by madamswer - REPLY button not working]
"in the EV/EBIT ratio, the thing that remains constant is the ratio itself"
Hi madamswer,
Thank you very much for your comprehensive reply, you have moved me higher up the curve of understanding.
I guess what I can do now as an exercise is look at the precedent values of the EV / EBIT ratio for MND to get a handle on the variability in the ratio - perhaps I will find that it is reasonably constant. Or if there is some ratio variability over time, check how that relates to performance of the sector that MND operates in.
Cheers, jomo
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