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Square Inc is Among the Companies in the Data Processing & Outsourced Services Industry With the Highest Debt to EBITDA Ratio (SQ, CATM, SRT, WEX, GPN)

By David Diaz

Below are the three companies in the Data Processing & Outsourced 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.

Square Inc ranks highest with a a debt to EBITDA ratio of 15.3. Cardtronics Pl-A is next with a a debt to EBITDA ratio of 10.8. Startek, Inc. ranks third highest with a a debt to EBITDA ratio of 9.2.

Wex Inc follows with a a debt to EBITDA ratio of 5.3, and Global Payments rounds out the top five with a a debt to EBITDA ratio of 4.4.

SmarTrend recommended that its subscribers protect gains by selling shares of Cardtronics Pl-A on February 14th, 2020 by issuing a Downtrend alert when the shares were trading at $42.53. Since that call, shares of Cardtronics Pl-A have fallen 21.9%. 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 :sq square inc cardtronics pl-a :srt startek inc. wex inc global payments

Ticker(s): CATM WEX GPN