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Alliance One Int is Among the Companies in the Tobacco Industry With the Highest Debt to EBITDA Ratio (AOI, VGR, PM, RAI, UVV)

By David Diaz

Below are the three companies in the Tobacco industry with the highest debt to EBITDA ratios. This ratio indicates how many years of EBITDA would be necessary in order to pay back all the debt (assuming Debt and EBITDA are constant). Typically, this ratio is considered to be alarming when it is greater than 3.0 but this can vary and should be looked at within the context of the industry.

Alliance One Int ranks highest with a a debt to EBITDA ratio of 12.0. Following is Vector Group Ltd with a a debt to EBITDA ratio of 4.7. Philip Morris In ranks third highest with a a debt to EBITDA ratio of 2.7.

Reynolds America follows with a a debt to EBITDA ratio of 2.2, and Universal Corp rounds out the top five with a a debt to EBITDA ratio of 2.0.

SmarTrend recommended that its subscribers protect gains by selling shares of Alliance One Int on August 2nd, 2017 by issuing a Downtrend alert when the shares were trading at $14.18. Since that call, shares of Alliance One Int have fallen 27.0%. We are now looking for when a new Uptrend will commence and will alert SmarTrend subscribers in real time.

Keywords: highest debt to ebitda ratio alliance one int vector group ltd philip morris in reynolds america universal corp

Ticker(s): AOI VGR PM RAI UVV