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Shares of Cabela'S Inc Rank the Highest in Terms of Debt to EBITDA Ratio in the Specialty Stores Industry (CAB, SPLS, HZO, PRTY, TCS)

By David Diaz

Below are the three companies in the Specialty Stores 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.

Cabela'S Inc ranks highest with a a debt to EBITDA ratio of 13.3. Following is Staples Inc with a a debt to EBITDA ratio of 6.6. Marinemax Inc ranks third highest with a a debt to EBITDA ratio of 5.0.

Party City Holdc follows with a a debt to EBITDA ratio of 5.0, and Container Store rounds out the top five with a a debt to EBITDA ratio of 4.1.

SmarTrend recommended that its subscribers protect gains by selling shares of Container Store on August 3rd, 2017 by issuing a Downtrend alert when the shares were trading at $4.81. Since that call, shares of Container Store have fallen 12.3%. 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 cabela's inc staples inc marinemax inc nyse:prty party city holdc container store

Ticker(s): CAB SPLS HZO TCS