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Highest Debt to EBITDA Ratio in the Leisure Facilities Industry Detected in Shares of Seaworld Enterta (SEAS, MYCC, PLNT, SNOW, SIX)

By David Diaz

Below are the three companies in the Leisure Facilities 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.

Seaworld Enterta ranks highest with a a debt to EBITDA ratio of 6.1. Clubcorp Holding is next with a a debt to EBITDA ratio of 5.4. Planet Fitness-A ranks third highest with a a debt to EBITDA ratio of 4.6.

Intrawest Resort follows with a a debt to EBITDA ratio of 4.6, and Six Flags Entert rounds out the top five with a a debt to EBITDA ratio of 4.2.

SmarTrend recommended that its subscribers protect gains by selling shares of Seaworld Enterta on June 8th, 2017 by issuing a Downtrend alert when the shares were trading at $16.65. Since that call, shares of Seaworld Enterta have fallen 24.1%. 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 seaworld enterta clubcorp holding planet fitness-a intrawest resort six flags entert