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Digi International (STU:DGI) Debt-to-EBITDA : 2.88 (As of Mar. 2024)


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What is Digi International Debt-to-EBITDA?

Debt-to-EBITDA measures a company's ability to pay off its debt.

Digi International's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was €2.9 Mil. Digi International's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was €169.6 Mil. Digi International's annualized EBITDA for the quarter that ended in Mar. 2024 was €59.8 Mil. Digi International's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 was 2.88.

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt. According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.

The historical rank and industry rank for Digi International's Debt-to-EBITDA or its related term are showing as below:

STU:DGI' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 2.14   Med: 2.63   Max: 3.4
Current: 2.68

During the past 13 years, the highest Debt-to-EBITDA Ratio of Digi International was 3.40. The lowest was 2.14. And the median was 2.63.

STU:DGI's Debt-to-EBITDA is ranked worse than
62.09% of 1728 companies
in the Hardware industry
Industry Median: 1.805 vs STU:DGI: 2.68

Digi International Debt-to-EBITDA Historical Data

The historical data trend for Digi International's Debt-to-EBITDA can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Digi International Debt-to-EBITDA Chart

Digi International Annual Data
Trend Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only - 2.63 2.14 3.40 2.63

Digi International Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Debt-to-EBITDA Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.02 2.72 2.51 4.89 2.88

Competitive Comparison of Digi International's Debt-to-EBITDA

For the Communication Equipment subindustry, Digi International's Debt-to-EBITDA, along with its competitors' market caps and Debt-to-EBITDA data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Digi International's Debt-to-EBITDA Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Digi International's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Digi International's Debt-to-EBITDA falls into.



Digi International Debt-to-EBITDA Calculation

Debt-to-EBITDA measures a company's ability to pay off its debt.

Digi International's Debt-to-EBITDA for the fiscal year that ended in Sep. 2023 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(17.686 + 189.311) / 78.811
=2.63

Digi International's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(2.899 + 169.573) / 59.808
=2.88

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Debt-to-EBITDA, the EBITDA of the last fiscal year is used. In calculating the annualized quarterly data, the EBITDA data used here is four times the quarterly (Mar. 2024) EBITDA data.


Digi International  (STU:DGI) Debt-to-EBITDA Explanation

In the calculation of Debt-to-EBITDA, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by EBITDA. In some calculations, Total Liabilities is used to for calculation.


Be Aware

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt.

According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.


Digi International Debt-to-EBITDA Related Terms

Thank you for viewing the detailed overview of Digi International's Debt-to-EBITDA provided by GuruFocus.com. Please click on the following links to see related term pages.


Digi International (STU:DGI) Business Description

Traded in Other Exchanges
Address
9350 Excelsior Boulevard, Suite 700, Hopkins, MN, USA, 55343
Digi International Inc is a Minnesota corporation. The company provides business and mission-critical and Internet of Things (IoT) connectivity products and services. It has two segments: IoT Products and Services and IoT Solutions. The IoT Products and Services segment consists of distinct communications products and communication product development services. IoT Solutions segment offers wireless temperature and other environmental condition monitoring services as well as employee task management services. The company generates majority of its revenue from the IoT Products & Services segment. Geographically, the company generates majority of its revenue from its business in the United States and also has its presence in Europe, Middle East and Africa and Rest of the world.

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