Shares of Spectrum Group International Rank the Highest in Terms of Debt to EBITDA Ratio in the Specialized Consumer Services Industry (SPGZ, STON, WTW, ASCMA, CSV)
Below are the three companies in the Specialized Consumer Services 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.
Spectrum Group International ranks highest with a a debt to EBITDA ratio of 33.7. Following is Stonemor Partners with a a debt to EBITDA ratio of 16.7. Weight Watchers ranks third highest with a a debt to EBITDA ratio of 10.2.
Ascent Media follows with a a debt to EBITDA ratio of 5.1, and Carriage Services rounds out the top five with a a debt to EBITDA ratio of 4.9.
SmarTrend recommended that its subscribers protect gains by selling shares of Weight Watchers on June 27th, 2016 by issuing a Downtrend alert when the shares were trading at $11.59. Since that call, shares of Weight Watchers have fallen 8.8%. 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 spectrum group international stonemor partners weight watchers ascent media carriage services