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Economic Value Added (EVA) from NOPAT and WACC Calculator

EVA = NOPAT − WACC · Invested Capital.

Compute Economic Value Added (Stern-Stewart): the dollar amount of value created above and beyond the cost of capital. EVA = NOPAT − (WACC × Invested Capital). EVA > 0 means the firm earned more than its cost of capital; EVA < 0 means it destroyed shareholder value despite being profitable on a GAAP basis.

Nadia Almasri By Nadia Almasri
Published Last reviewed 1 min read

Inputs

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Results

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How to use this calculator

  1. Fill in the inputs above using the units you already have.
  2. Values update automatically as you type — no submit button needed.
  3. Hover any result row for the underlying formula and intermediate values.

Formula

EVA = NOPAT − WACC · IC.

In depth

Compute Economic Value Added (Stern-Stewart): the dollar amount of value created above and beyond the cost of capital. EVA = NOPAT − (WACC × Invested Capital). EVA > 0 means the firm earned more than its cost of capital; EVA < 0 means it destroyed shareholder value despite being profitable on a GAAP basis.