EBITDA stands for Earnings Before Interest Tax Depreciation Amortization, and measures the overall financial performance of a company. It's a proxy for profitability and is a commonly used metric by investors because it accounts for common expenses.

EBITDA = Net Income + Interest + Taxes + Depreciation + Amortization

It's often said that EBITDA offers a clear picture of how efficiently the company operates because it removes costs that obfuscate how a company is actually performing at their core.