Debt to EBITDA ratio

What is Debt to EBITDA ratio?

Debt to EBITDA ratio counts as Total debt divided by EBITDA, which stands for earnings before interest, taxes, depreciation, and amortization. This ratio is used as an indicator to predict the overall profitability of a business, company or firm before taxes and other accounting items.

Formula:

Total debt / EBITDA

What does Debt to EBITDA ratio mean?

It shows if a company is able to pay its debts and obligations, if needed, with its earnings. Sometimes EBITDA is considered a more accurate indicator of profit from a company’s activities because it calculates earnings before any other accounting items are factored in. Therefore the Debt to EBITDA Ratio can provide a clearer understanding of the available funds to pay off debt.

Inicio Analizador de acciones Analizador de Forex Crypto Screener Calendario económico Cómo funciona Funcionalidades del gráfico Precios Recomendar a un amigo Normas Centro de ayuda Soluciones broker y sitio web Widgets Soluciones gráficas Biblioteca de gráficos ligeros Blog y Noticias Twitter
Perfil Opciones de configuración del perfil Cuenta y facturación Amigos referidos Monedas Mis solicitudes de asistencia Centro de ayuda Ideas publicadas Seguidores Siguiendo Mensajes privados Chat Cerrar sesión