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Highest Debt to EBITDA Ratio in the Electrical Components & Equipment Industry Detected in Shares of General Cable (BGC, RBC, ETN, ENS, AME)

By James Quinn

Below are the three companies in the Electrical Components & Equipment 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.

General Cable ranks highest with a a debt to EBITDA ratio of 13.9. Following is Regal-Beloit with a a debt to EBITDA ratio of 3.0. Eaton ranks third highest with a a debt to EBITDA ratio of 2.6.

EnerSys follows with a a debt to EBITDA ratio of 2.4, and AMETEK rounds out the top five with a a debt to EBITDA ratio of 2.4.

SmarTrend recommended that subscribers consider buying shares of AMETEK on December 2nd, 2016 as our technology indicated a new Uptrend was in progress when shares hit $48.74. Since that recommendation, shares of AMETEK have risen 10.1%. We continue to monitor AMETEK for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.

Keywords: highest debt to ebitda ratio general cable regal-beloit Eaton enersys ametek

Ticker(s): BGC RBC ETN ENS AME