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Kennametal is Among the Companies in the Industrial Machinery Industry With the Highest Debt to EBITDA Ratio (KMT, BLT, BOOM, NPO, WTS)

By Nick Russo

Below are the three companies in the Industrial Machinery 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.

Kennametal ranks highest with a a debt to EBITDA ratio of 48.8. Blount International is next with a a debt to EBITDA ratio of 19.7. Dynamic Materials ranks third highest with a a debt to EBITDA ratio of 12.7.

EnPro Industries follows with a a debt to EBITDA ratio of 10.1, and Watts Water Technologies rounds out the top five with a a debt to EBITDA ratio of 7.3.

SmarTrend recommended that subscribers consider buying shares of Dynamic Materials on February 4th, 2016 as our technology indicated a new Uptrend was in progress when shares hit $6.24. Since that recommendation, shares of Dynamic Materials have risen 63.9%. We continue to monitor Dynamic Materials for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.

Keywords: highest debt to ebitda ratio kennametal Blount International dynamic materials enpro industries watts water technologies