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Top 5 Companies in the Construction & Engineering Industry With the Highest Debt to EBITDA Ratio (LAYN, CBI, ORN, ACM, MTZ)

By Shiri Gupta

Below are the three companies in the Construction & Engineering 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.

Layne Christensen ranks highest with a a debt to EBITDA ratio of 46.9. Following is Chicago Bridge & Iron with a a debt to EBITDA ratio of 28.2. Orion Marine ranks third highest with a a debt to EBITDA ratio of 6.4.

Aecom Technology follows with a a debt to EBITDA ratio of 6.1, and MasTec rounds out the top five with a a debt to EBITDA ratio of 4.4.

SmarTrend recommended that subscribers consider buying shares of Layne Christensen on January 4th, 2016 as our technology indicated a new Uptrend was in progress when shares hit $5.26. Since that recommendation, shares of Layne Christensen have risen 70.9%. We continue to monitor Layne Christensen for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.

Keywords: highest debt to ebitda ratio layne christensen chicago bridge & iron orion marine aecom technology mastec