ASPW (Arista Power) Debt-to-EBITDA : 0.37 (As of Sep. 2014)


What is Arista Power Debt-to-EBITDA?

Arista Power ASPW -99.00% Debt-to-EBITDA is 0.37 as of Sep. 2014.

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

Arista Power's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2014 was $0.94 Mil. Arista Power's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2014 was $0.00 Mil. Arista Power's annualized EBITDA for the quarter that ended in Sep. 2014 was $2.58 Mil. Arista Power's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2014 was 0.37.

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 Arista Power's Debt-to-EBITDA or its related term are showing as below:

ASPW's Debt-to-EBITDA is not ranked *
in the Industrial Products industry.
Industry Median: 1.7
* Ranked among companies with meaningful Debt-to-EBITDA only.

Arista Power  (OTCPK:ASPW) 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.


Arista Power Debt-to-EBITDA Related Terms


Arista Power Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Arista Power'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.

Arista Power Debt-to-EBITDA Chart

Arista Power Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13
Debt-to-EBITDA
Get a 7-Day Free Trial 0.00 -0.08 -0.01 -0.06 -0.27

Arista Power Quarterly Data
Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14
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 -0.18 -2.26 -0.32 0.11 0.37

ASPW vs COTE: Debt-to-EBITDA Comparison

For the Specialty Industrial Machinery subindustry, Arista Power'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.


Arista Power Debt-to-EBITDA vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Arista Power's Debt-to-EBITDA distribution charts can be found below:

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



Arista Power Debt-to-EBITDA Calculation

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

Arista Power's Debt-to-EBITDA for the fiscal year that ended in Dec. 2013 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(0.697 + 0.016) / -2.686
=-0.27

Arista Power's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2014 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(0.942 + 0) / 2.576
=0.37

* 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 (Sep. 2014) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of 0.37 mean?
Arista Power (ASPW) has a Debt-to-EBITDA of 0.37 as of Sep. 2014. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Arista Power.
Is Arista Power's Debt-to-EBITDA too high?
Arista Power's current Debt-to-EBITDA is 0.37. The Industrial Products industry median Debt-to-EBITDA is 1.70. Arista Power's value of 0.37 is 78.2% below this industry median.
How does Arista Power's Debt-to-EBITDA compare to COTE?
Arista Power's Debt-to-EBITDA of 0.37 can be compared against companies in the Industrial Products industry. The industry median Debt-to-EBITDA is 1.70. Arista Power's value of 0.37 is 78.2% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-EBITDA for an Industrial Products company?
The median Debt-to-EBITDA among Industrial Products companies is 1.70, based on 2,333 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Arista Power's current Debt-to-EBITDA of 0.37 is 78.2% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-EBITDA mean?
A high Debt-to-EBITDA can signal that a stock is expensive relative to its fundamentals. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Arista Power. For the Industrial Products industry, the median Debt-to-EBITDA is 1.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arista Power's current Debt-to-EBITDA is 0.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arista Power stock overvalued right now?
Arista Power (ASPW) has a current Debt-to-EBITDA of 0.37. The current Debt-to-EBITDA is 0.37 and 78.2% below the Industrial Products industry median of 1.70. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-EBITDA calculated?
Debt-to-EBITDA is calculated from a company's financial statements. For Arista Power (ASPW), the current Debt-to-EBITDA is 0.37 as of Sep. 2014. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Arista Power Business Description

Address 1999 Mount Read Boulevard, Rochester, NY, USA, 14615
Arista Power Inc provides renewable power solutions. It is a developer, supplier and integrator of custom-designed power management systems, and a supplier, designer, and installer of solar energy systems. Arista provides flexible, scalable solutions in power management systems, renewable energy storage systems, WindTamer wind turbines, and a supplier and designer of solar energy systems. The company also manufactures a Mobile Renewable Power Station that generates wind and solar energy to an integrated onboard storage unit for military and other applications.