AEON Stores (Hong Kong) Co (FRA:AVK1) Debt-to-EBITDA : 4.40 (As of Dec. 2025) — 12% Above Median

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FRA:AVK1 AEON Stores (Hong Kong) Co Ltd FRA:AVK1
30 GF Score
Price €0.01
GF Value €0.03
Valuation Possible Value Trap
! 6 Warning Signs
View Full Analysis

What is AEON Stores (Hong Kong) Co Debt-to-EBITDA?

AEON Stores (Hong Kong) Co FRA:AVK1 30 Debt-to-EBITDA is 4.40 as of Dec. 2025, which is 12% above its 10-year median of 3.93. GuruFocus rates FRA:AVK1 with a GF Score™ of 30/100 and a GF Value™ of €0.03 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 911 Retail - Cyclical companies, AEON Stores (Hong Kong) Co ranks worse than 77.61% on this metric.

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

AEON Stores (Hong Kong) Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2025 was €120.7 Mil. AEON Stores (Hong Kong) Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2025 was €270.2 Mil. AEON Stores (Hong Kong) Co's annualized EBITDA for the quarter that ended in Dec. 2025 was €88.8 Mil. AEON Stores (Hong Kong) Co's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2025 was 4.40.

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 AEON Stores (Hong Kong) Co's Debt-to-EBITDA or its related term are showing as below:

FRA:AVK1' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0   Med: 3.93   Max: 5.16
Current: 4.85

During the past 13 years, the highest Debt-to-EBITDA Ratio of AEON Stores (Hong Kong) Co was 5.16. The lowest was 0.00. And the median was 3.93.

FRA:AVK1's Debt-to-EBITDA is ranked worse than
77.61% of 911 companies
in the Retail - Cyclical industry
Industry Median: 2.28 vs FRA:AVK1: 4.85

AEON Stores (Hong Kong) Co  (FRA:AVK1) 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.


AEON Stores (Hong Kong) Co Debt-to-EBITDA Related Terms


AEON Stores (Hong Kong) Co Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for AEON Stores (Hong Kong) Co'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.

AEON Stores (Hong Kong) Co Debt-to-EBITDA Chart

AEON Stores (Hong Kong) Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.16 3.49 3.49 4.90 4.85

AEON Stores (Hong Kong) Co Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 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 3.72 5.26 4.55 5.52 4.40

FRA:AVK1 vs DDS, M: Debt-to-EBITDA Comparison

For the Department Stores subindustry, AEON Stores (Hong Kong) 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.


AEON Stores (Hong Kong) Co Debt-to-EBITDA vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, AEON Stores (Hong Kong) Co's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where AEON Stores (Hong Kong) Co's Debt-to-EBITDA falls into.


FRA:AVK1
30GF Score
AEON Stores (Hong Kong) Co Ltd FRA:AVK1
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
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AEON Stores (Hong Kong) Co Debt-to-EBITDA Calculation

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

AEON Stores (Hong Kong) Co's Debt-to-EBITDA for the fiscal year 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
=(120.652 + 270.176) / 80.549
=4.85

AEON Stores (Hong Kong) Co'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
=(120.652 + 270.176) / 88.816
=4.40

* 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 4.40 mean?
AEON Stores (Hong Kong) Co (FRA:AVK1) has a Debt-to-EBITDA of 4.40 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 AEON Stores (Hong Kong) Co. This is 12% above median its historical median of 3.93. According to the industry distribution chart, AEON Stores (Hong Kong) Co ranks #707 out of 911 companies in the Retail - Cyclical industry, placing it in the top 77.6%.
Is AEON Stores (Hong Kong) Co's Debt-to-EBITDA too high?
AEON Stores (Hong Kong) Co's current Debt-to-EBITDA of 4.40 is 12% above median its 10-year median of 3.93. The Retail - Cyclical industry median Debt-to-EBITDA is 2.28. AEON Stores (Hong Kong) Co's value of 4.40 is 93% above this industry median. Based on the distribution chart, AEON Stores (Hong Kong) Co ranks #707 out of 911 companies in the Retail - Cyclical industry, which is in the bottom quartile relative to peers. Overall, AEON Stores (Hong Kong) Co has a GF Score™ of 30/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does AEON Stores (Hong Kong) Co's Debt-to-EBITDA compare to DDS and M?
According to the Retail - Cyclical industry distribution chart, AEON Stores (Hong Kong) Co ranks #707 out of 911 companies for Debt-to-EBITDA. This places AEON Stores (Hong Kong) Co in the lower half of its industry. The industry median Debt-to-EBITDA is 2.28. AEON Stores (Hong Kong) Co's value of 4.40 is 93% above this benchmark. While the company's 10-year median is 3.93 vs. the industry median of 2.28, AEON Stores (Hong Kong) Co has consistently been above 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 Retail - Cyclical company?
The median Debt-to-EBITDA among Retail - Cyclical companies is 2.28, based on 911 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. AEON Stores (Hong Kong) Co's current Debt-to-EBITDA of 4.40 is 93% above 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 AEON Stores (Hong Kong) Co. For the Retail - Cyclical industry, the median Debt-to-EBITDA is 2.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. AEON Stores (Hong Kong) Co's current Debt-to-EBITDA is 4.40, which is 12% above median its own 10-year median of 3.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AEON Stores (Hong Kong) Co stock overvalued right now?
Based on GuruFocus' analysis, AEON Stores (Hong Kong) Co (FRA:AVK1) is currently considered Possible Value Trap. The stock's GF Value™ is €0.03, compared to a current price of €0.01 — trading 56.7% below its estimated fair value. The current Debt-to-EBITDA is 4.40, which is 12% above median its 10-year median of 3.93 and 93% above the Retail - Cyclical industry median of 2.28. AEON Stores (Hong Kong) Co's overall GF Score™ is 30/100 with 6 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 AEON Stores (Hong Kong) Co (FRA:AVK1), the current Debt-to-EBITDA is 4.40 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 AEON Stores (Hong Kong) Co (FRA:AVK1) Overvalued in 2026?

Based on GuruFocus' analysis, AEON Stores (Hong Kong) Co stock appears to be undervalued. The current stock price of €0.01 is trading 56.7% below its estimated GF Value™ of €0.03. GuruFocus considers AEON Stores (Hong Kong) Co to be Possible Value Trap.

Key valuation signals for FRA:AVK1:

  • Debt-to-EBITDA: 4.40 (12% above median its 10-year median of 3.93)
  • GF Value™: €0.03 vs. price of €0.01 (56.7% below fair value)
  • GF Score™: 30/100 with 6 warning signs
  • Industry Position: 93% above the Retail - Cyclical median (#707 of 911)

No single metric tells the full story. See the FRA:AVK1 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


AEON Stores (Hong Kong) Co Business Description

Other Exchanges 00984:Hong Kong
Address 388 Castle Peak Road, Units 07-11, 26th Floor, CDW Building, New Territories, Tsuen Wan, Hong Kong, HKG
AEON Stores (Hong Kong) Co Ltd and its subsidiaries are engaged in the operation of retail stores. It offers household products, clothing, and food products, among others. The company also provides facilities such as a lounge, free home delivery, free parking, gift wrapping, self-express, free ice pack, gift certificate selling, chilled lockers, trolley-lending, and customer voice services. Some of its brands are TOPVALU, HOME COORDY, iC innercasual and Kids Republic. It has two reportable segments: Hong Kong and Mainland China. The firm generates the majority of its revenue from Mainland China.
30GF Score

Get the complete analysis for FRA:AVK1

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

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Price
€0.03
GF Value