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MSC Industrial Direct CoFRA:98M -2.52%78 Debt-to-EBITDA is 1.03 as of May. 2026, which is 21% below its 10-year median of 1.30. GuruFocus rates FRA:98M with a GF Score™ of 78/100 and a GF Value™ of €80.89 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 140 Industrial Distribution companies, MSC Industrial Direct Co ranks better than 66.43% on this metric.
Debt-to-EBITDA measures a company's ability to pay off its debt.
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 MSC Industrial Direct Co's Debt-to-EBITDA or its related term are showing as below:
FRA:98M'
s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.94 Med: 1.3 Max: 2.25
Current: 1.3
During the past 13 years, the highest Debt-to-EBITDA Ratio of MSC Industrial Direct Co was 2.25. The lowest was 0.94. And the median was 1.30.
FRA:98M's Debt-to-EBITDA is ranked better than 66.43% of 140
companies
in the Industrial Distribution industry
Industry Median: 2.515
vs FRA:98M: 1.30
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.
MSC Industrial Direct Co Debt-to-EBITDA Related Terms
MSC Industrial Direct Co Debt-to-EBITDA Historical Data
* 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.
FRA:98M vs POOL, CNM, REZI: Debt-to-EBITDA Comparison
For the Industrial Distribution subindustry, MSC Industrial Direct Co'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.
MSC Industrial Direct Co Debt-to-EBITDA vs Industrial Distribution Industry
For the Industrial Distribution industry and Industrials sector, MSC Industrial Direct Co's Debt-to-EBITDA distribution charts can be found below:
* The bar in red indicates where MSC Industrial Direct Co's Debt-to-EBITDA falls into.
* 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 (May. 2026) EBITDA data.
MSC Industrial Direct Co (FRA:98M) has a Debt-to-EBITDA of 1.03 as of May. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on MSC Industrial Direct Co. This is 21% below median its historical median of 1.30. Over the past decade, MSC Industrial Direct Co's Debt-to-EBITDA has ranged from 0.94 to 2.25. According to the industry distribution chart, MSC Industrial Direct Co ranks #47 out of 140 companies in the Industrial Distribution industry, placing it in the top 33.6%.
Is MSC Industrial Direct Co's Debt-to-EBITDA too high?
MSC Industrial Direct Co's current Debt-to-EBITDA of 1.03 is 21% below median its 10-year median of 1.30. Over the past 10 years, this metric has ranged from a low of 0.94 to a high of 2.25. The Industrial Distribution industry median Debt-to-EBITDA is 2.52. MSC Industrial Direct Co's value of 1.03 is 59% below this industry median. Based on the distribution chart, MSC Industrial Direct Co ranks #47 out of 140 companies in the Industrial Distribution industry, which is above the industry midpoint. Overall, MSC Industrial Direct Co has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does MSC Industrial Direct Co's Debt-to-EBITDA compare to POOL and CNM?
According to the Industrial Distribution industry distribution chart, MSC Industrial Direct Co ranks #47 out of 140 companies for Debt-to-EBITDA. This puts MSC Industrial Direct Co in the upper half of its industry. The industry median Debt-to-EBITDA is 2.52. MSC Industrial Direct Co's value of 1.03 is 59% below this benchmark. Historically, MSC Industrial Direct Co's own Debt-to-EBITDA has ranged from 0.94 to 2.25 over the past decade. While the company's 10-year median is 1.30 vs. the industry median of 2.52, MSC Industrial Direct Co 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 an Industrial Distribution company?
The median Debt-to-EBITDA among Industrial Distribution companies is 2.52, based on 140 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. MSC Industrial Direct Co's current Debt-to-EBITDA of 1.03 is 59% 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 MSC Industrial Direct Co. For the Industrial Distribution industry, the median Debt-to-EBITDA is 2.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. MSC Industrial Direct Co's current Debt-to-EBITDA is 1.03, which is 21% below median its own 10-year median of 1.30. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is MSC Industrial Direct Co stock overvalued right now?
Based on GuruFocus' analysis, MSC Industrial Direct Co (FRA:98M) is currently considered Significantly Overvalued. The stock's GF Value™ is €80.89, compared to a current price of €108.20 — trading 33.8% above its estimated fair value. The current Debt-to-EBITDA is 1.03, which is 21% below median its 10-year median of 1.30 and 59% below the Industrial Distribution industry median of 2.52. MSC Industrial Direct Co's overall GF Score™ is 78/100 with 8 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 MSC Industrial Direct Co (FRA:98M), the current Debt-to-EBITDA is 1.03 as of May. 2026. 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 MSC Industrial Direct Co (FRA:98M) Overvalued in 2026?
Based on GuruFocus' analysis, MSC Industrial Direct Co stock appears to be overvalued.
The current stock price of €108.20 is trading 33.8% above its estimated GF Value™ of €80.89.
GuruFocus considers MSC Industrial Direct Co to be Significantly Overvalued.
Key valuation signals for FRA:98M:
Debt-to-EBITDA: 1.03 (21% below median its 10-year median of 1.30)
GF Value™: €80.89 vs. price of €108.20 (33.8% above fair value)
Industry Position: 59% below the Industrial Distribution median (#47 of 140)
No single metric tells the full story. See the FRA:98M stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1941, MSC Industrial Direct originally manufactured and sold cutting tools to metalworking shops in New York. Through a series of acquisitions and organic expansions, MSC has grown into an industrial distribution powerhouse with a focus on specialized metalworking products and services. The firm also distributes a wide breadth of maintenance, repair, and operations supplies. MSC primarily operates in North America, where it derives over 95% of its revenue.
78GF Score
Get the complete analysis for FRA:98M
Debt-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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