Highest Debt to EBITDA Ratio in the Aerospace & Defense Industry Detected in Shares of LMI Aerospace (LMIA, KEYW, KTOS, SIF, TDG)
Below are the three companies in the Aerospace & Defense 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.
LMI Aerospace ranks highest with a a debt to EBITDA ratio of 20.4. Keyw Holding Corp is next with a a debt to EBITDA ratio of 19.7. Kratos Defense & Security Solutions ranks third highest with a a debt to EBITDA ratio of 12.3.
SIFCO Industries follows with a a debt to EBITDA ratio of 9.5, and TransDigm rounds out the top five with a a debt to EBITDA ratio of 7.2.
SmarTrend recommended that subscribers consider buying shares of TransDigm on February 26th, 2016 as our technology indicated a new Uptrend was in progress when shares hit $216.60. Since that recommendation, shares of TransDigm have risen 33.8%. We continue to monitor TransDigm for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.
Keywords: highest debt to ebitda ratio lmi aerospace keyw holding corp kratos defense & security solutions amex:sif sifco industries transdigm