Relatively High Debt to EBITDA Ratio Detected in Shares of LSB Industries in the Diversified Chemicals Industry (LXU, HUN, EMN, OLN, DD)
Below are the three companies in the Diversified Chemicals 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.
LSB Industries ranks highest with a a debt to EBITDA ratio of 82.6. Huntsman is next with a a debt to EBITDA ratio of 5.6. Eastman Chemical ranks third highest with a a debt to EBITDA ratio of 4.1.
Olin follows with a a debt to EBITDA ratio of 2.3, and EI Du Pont de Nemours rounds out the top five with a a debt to EBITDA ratio of 2.0.
SmarTrend recommended that subscribers consider buying shares of EI Du Pont de Nemours on February 3rd, 2016 as our technology indicated a new Uptrend was in progress when shares hit $57.96. Since that recommendation, shares of EI Du Pont de Nemours have risen 14.6%. We continue to monitor EI Du Pont de Nemours for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.
Keywords: highest debt to ebitda ratio lsb industries Huntsman Eastman Chemical olin ei du pont de nemours