• Return to Headlines

Horizon Pharma P has the Highest Debt to EBITDA Ratio in the Pharmaceuticals Industry (HZNP, ENDP, TLGT, PBH, AGN)

By Shiri Gupta

Below are the three companies in the Pharmaceuticals 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.

Horizon Pharma P ranks highest with a a debt to EBITDA ratio of 109.0. Endo Internation is next with a a debt to EBITDA ratio of 14.1. Teligent Inc ranks third highest with a a debt to EBITDA ratio of 13.1.

Prestige Brands follows with a a debt to EBITDA ratio of 9.5, and Allergan Plc rounds out the top five with a a debt to EBITDA ratio of 7.5.

SmarTrend recommended that its subscribers protect gains by selling shares of Teligent Inc on July 27th, 2017 by issuing a Downtrend alert when the shares were trading at $8.00. Since that call, shares of Teligent Inc have fallen 14.7%. 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 horizon pharma p endo internation teligent inc prestige brands allergan plc

Ticker(s): HZNP ENDP TLGT PBH AGN