Enterprise Value (EV) represents Market Capitalization plus Net Debt, and is a truer reflection of the actual size of a company than Market Cap. More specifically Net Debt includes Total Debt, Minority Interest and Preferred Stock minus Cash and Short Term Investments.
This Enterprise Value is based on the latest available figures for Debt & Cash, i.e. interim figures if these have been published since the annuals.
Because EV is a capital structure-neutral metric, it is useful when comparing companies with diverse capital structures. In contrast, the PE Ratio will be significantly more volatile in companies that are highly leveraged.