Smart Finance

Term

Enterprise value (EV)

What the whole business is worth to everyone with a claim on it: the market value of its shares plus its debt, minus its cash. It lets you compare companies that are financed differently.

In pesos: Buying a stand valued at $500,000 MXN that owes $100,000 to the bank and has $50,000 in the register really costs you $550,000: you take on the debt and keep the cash.

Where to go deeper

2/4 6 min Read What you actually buy when you buy a share A share is a piece of a company, not a number on a screen. Where its value comes from, why the price moves, what a dividend is, and why it is not a lottery ticket.

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Educational content only: not financial, investment or tax advice. The numbers are examples to understand the idea, not a forecast or a recommendation.