Enterprise Value (EV) is a measure of a company’s entire value. It includes the market capitalization (price per share multiplied by number of shares outstanding) plus its debts and other liabilities, minus its cash reserves. Equity Value (EqV) measures the value attributed to the owners of a company, which includes the market capitalization plus retained earnings minus total liabilities. Put simply, EV is what it would cost to acquire the entire company while EqV reflects how much the shareholders would receive from selling their stake in the business. EV can be a great tool for investors who are looking to compare businesses across different industries, since it takes into consideration factors such as size, debt levels and other financial commitments.