Relatively High Debt to EBITDA Ratio Detected in Shares of NetFlix in the Internet Retail Industry (NFLX, FLWS, EXPE, SFLY, PCLN)
Below are the three companies in the Internet Retail 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.
NetFlix ranks highest with a a debt to EBITDA ratio of 6.5. 1-800-Flowers.com is next with a a debt to EBITDA ratio of 4.8. Expedia ranks third highest with a a debt to EBITDA ratio of 2.5.
Shutterfly follows with a a debt to EBITDA ratio of 2.5, and priceline.com rounds out the top five with a a debt to EBITDA ratio of 1.6.
SmarTrend recommended that subscribers consider buying shares of Shutterfly on February 23rd, 2016 as our technology indicated a new Uptrend was in progress when shares hit $43.57. Since that recommendation, shares of Shutterfly have risen 11.0%. We continue to monitor Shutterfly for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.
Keywords: highest debt to ebitda ratio Netflix 1-800-flowers.com Expedia shutterfly Priceline.com