Sigma Healthcare (ASX:SIG) Debt-to-EBITDA : 1.65 (As of Dec. 2025) — 33% Below Median

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ASX:SIG Sigma Healthcare Ltd ASX:SIG
55 GF Score
Price A$2.84
GF Value A$0.37
Valuation Significantly Overvalued
! 10 Warning Signs
View Full Analysis

What is Sigma Healthcare Debt-to-EBITDA?

Sigma Healthcare ASX:SIG -1.05% 55 Debt-to-EBITDA is 1.65 as of Dec. 2025, which is 33% below its 10-year median of 2.47. GuruFocus rates ASX:SIG with a GF Score™ of 55/100 and a GF Value™ of A$0.37 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 90 Medical Distribution companies, Sigma Healthcare ranks worse than 57.78% on this metric.

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

Sigma Healthcare's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2025 was A$201 Mil. Sigma Healthcare's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2025 was A$1,802 Mil. Sigma Healthcare's annualized EBITDA for the quarter that ended in Dec. 2025 was A$1,214 Mil. Sigma Healthcare's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2025 was 1.65.

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 Sigma Healthcare's Debt-to-EBITDA or its related term are showing as below:

ASX:SIG' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.36   Med: 2.47   Max: 12.04
Current: 3.14

During the past 13 years, the highest Debt-to-EBITDA Ratio of Sigma Healthcare was 12.04. The lowest was 0.36. And the median was 2.47.

ASX:SIG's Debt-to-EBITDA is ranked worse than
57.78% of 90 companies
in the Medical Distribution industry
Industry Median: 2.45 vs ASX:SIG: 3.14

Sigma Healthcare  (ASX:SIG) 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.


Sigma Healthcare Debt-to-EBITDA Related Terms


Sigma Healthcare Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Sigma Healthcare'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.

Sigma Healthcare Debt-to-EBITDA Chart

Sigma Healthcare Annual Data
Trend Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.28 10.70 4.52 2.57 2.38

Sigma Healthcare Semi-Annual Data
Jan16 Jul16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23 Jan24 Jul24 Jan25 Dec25
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 3.46 3.53 2.90 2.08 1.65

ASX:SIG vs MCK, CAH, COR: Debt-to-EBITDA Comparison

For the Medical Distribution subindustry, Sigma Healthcare'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.


Sigma Healthcare Debt-to-EBITDA vs Medical Distribution Industry

For the Medical Distribution industry and Healthcare sector, Sigma Healthcare's Debt-to-EBITDA distribution charts can be found below:

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


ASX:SIG
55GF Score
Sigma Healthcare Ltd ASX:SIG
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Sigma Healthcare Debt-to-EBITDA Calculation

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

Sigma Healthcare's Debt-to-EBITDA for the fiscal year that ended in Jan. 2025 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(10.64 + 121.446) / 55.472
=2.38

Sigma Healthcare's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2025 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(200.74 + 1801.791) / 1214.186
=1.65

* 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 two times the quarterly (Dec. 2025) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of 1.65 mean?
Sigma Healthcare (ASX:SIG) has a Debt-to-EBITDA of 1.65 as of Dec. 2025. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Sigma Healthcare. This is 33% below median its historical median of 2.47. Over the past decade, Sigma Healthcare's Debt-to-EBITDA has ranged from 0.36 to 12.04. According to the industry distribution chart, Sigma Healthcare ranks #52 out of 90 companies in the Medical Distribution industry, placing it in the top 57.8%.
Is Sigma Healthcare's Debt-to-EBITDA too high?
Sigma Healthcare's current Debt-to-EBITDA of 1.65 is 33% below median its 10-year median of 2.47. Over the past 10 years, this metric has ranged from a low of 0.36 to a high of 12.04. The Medical Distribution industry median Debt-to-EBITDA is 2.45. Sigma Healthcare's value of 1.65 is 32.7% below this industry median. Based on the distribution chart, Sigma Healthcare ranks #52 out of 90 companies in the Medical Distribution industry, which is below the industry midpoint. Overall, Sigma Healthcare has a GF Score™ of 55/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sigma Healthcare's Debt-to-EBITDA compare to MCK and CAH?
According to the Medical Distribution industry distribution chart, Sigma Healthcare ranks #52 out of 90 companies for Debt-to-EBITDA. This places Sigma Healthcare in the lower half of its industry. The industry median Debt-to-EBITDA is 2.45. Sigma Healthcare's value of 1.65 is 32.7% below this benchmark. Historically, Sigma Healthcare's own Debt-to-EBITDA has ranged from 0.36 to 12.04 over the past decade. While the company's 10-year median is 2.47 vs. the industry median of 2.45, Sigma Healthcare has consistently been below the industry average. 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 a Medical Distribution company?
The median Debt-to-EBITDA among Medical Distribution companies is 2.45, based on 90 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. Sigma Healthcare's current Debt-to-EBITDA of 1.65 is 32.7% 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 Sigma Healthcare. For the Medical Distribution industry, the median Debt-to-EBITDA is 2.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sigma Healthcare's current Debt-to-EBITDA is 1.65, which is 33% below median its own 10-year median of 2.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sigma Healthcare stock overvalued right now?
Based on GuruFocus' analysis, Sigma Healthcare (ASX:SIG) is currently considered Significantly Overvalued. The stock's GF Value™ is A$0.37, compared to a current price of A$2.84 — trading 667.6% above its estimated fair value. The current Debt-to-EBITDA is 1.65, which is 33% below median its 10-year median of 2.47 and 32.7% below the Medical Distribution industry median of 2.45. Sigma Healthcare's overall GF Score™ is 55/100 with 10 warning signs to review. 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 Sigma Healthcare (ASX:SIG), the current Debt-to-EBITDA is 1.65 as of Dec. 2025. 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.

Is Sigma Healthcare (ASX:SIG) Overvalued in 2026?

Based on GuruFocus' analysis, Sigma Healthcare stock appears to be overvalued. The current stock price of A$2.84 is trading 667.6% above its estimated GF Value™ of A$0.37. GuruFocus considers Sigma Healthcare to be Significantly Overvalued.

Key valuation signals for ASX:SIG:

  • Debt-to-EBITDA: 1.65 (33% below median its 10-year median of 2.47)
  • GF Value™: A$0.37 vs. price of A$2.84 (667.6% above fair value)
  • GF Score™: 55/100 with 10 warning signs
  • Industry Position: 32.7% below the Medical Distribution median (#52 of 90)

No single metric tells the full story. See the ASX:SIG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Sigma Healthcare Business Description

Other Exchanges SIGGF:USA
Address 6 Albert Street, Preston, VIC, AUS, 3072
Sigma Healthcare is Australia's largest retail pharmacy franchisor, most notably owning the Chemist Warehouse brand, which it merged with in 2025. Sigma is also Australia's largest full-line wholesaler to franchised and independent pharmacies and distributes a broad range of pharmacy products, including prescription medicines, over-the-counter products, and front of store, or FOS, products, at low prices. The group also operates in New Zealand, Ireland, China, and Dubai, has a growing private label range, and offers third-party logistics services.
55GF Score

Get the complete analysis for ASX:SIG

Debt-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$2.84
Price
A$0.37
GF Value