Relatively High Debt to EBITDA Ratio Detected in Shares of Connecticut Water Service in the Water Utilities Industry (CTWS, AWK, CWT, WTR, SJW)
Below are the three companies in the Water Utilities 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.
Connecticut Water Service ranks highest with a a debt to EBITDA ratio of 4.6. American Water Works is next with a a debt to EBITDA ratio of 4.2. California Water Service ranks third highest with a a debt to EBITDA ratio of 4.1.
Aqua America follows with a a debt to EBITDA ratio of 3.9, and SJW rounds out the top five with a a debt to EBITDA ratio of 3.8.
SmarTrend recommended that subscribers consider buying shares of Connecticut Water Service on December 16th, 2015 as our technology indicated a new Uptrend was in progress when shares hit $37.49. Since that recommendation, shares of Connecticut Water Service have risen 32.1%. We continue to monitor Connecticut Water Service for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.
Keywords: highest debt to ebitda ratio connecticut water service american water works california water service aqua america