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Directv (FRA:DIG1) Debt-to-EBITDA : 2.26 (As of Mar. 2015)


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What is Directv Debt-to-EBITDA?

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

Directv's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2015 was €2,176 Mil. Directv's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2015 was €15,762 Mil. Directv's annualized EBITDA for the quarter that ended in Mar. 2015 was €7,932 Mil. Directv's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2015 was 2.26.

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

FRA:DIG1' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0   Med: 0   Max: 2.3
Current: 2.3

During the past 13 years, the highest Debt-to-EBITDA Ratio of Directv was 2.30. The lowest was 0.00. And the median was 0.00.

FRA:DIG1's Debt-to-EBITDA is not ranked
in the Media - Diversified industry.
Industry Median: 1.68 vs FRA:DIG1: 2.30

Directv Debt-to-EBITDA Historical Data

The historical data trend for Directv'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.

Directv Debt-to-EBITDA Chart

Directv Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.68 1.90 2.27 2.40 2.51

Directv Quarterly Data
Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15
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 2.59 2.27 2.47 2.50 2.26

Competitive Comparison of Directv's Debt-to-EBITDA

For the Broadcasting subindustry, Directv'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.


Directv's Debt-to-EBITDA Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Directv's Debt-to-EBITDA distribution charts can be found below:

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



Directv Debt-to-EBITDA Calculation

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

Directv's Debt-to-EBITDA for the fiscal year that ended in Dec. 2014 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(1076.197 + 15802.335) / 6722.379
=2.51

Directv's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2015 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(2176.02 + 15761.592) / 7931.616
=2.26

* 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. 2015) EBITDA data.


Directv  (FRA:DIG1) 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.


Directv Debt-to-EBITDA Related Terms

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


Directv (FRA:DIG1) Business Description

Traded in Other Exchanges
N/A
Address
Directv was incorporated in Delaware in 2009. The Company is a provider of digital television entertainment in the United States and Latin America. It operates two direct-to-home, or DTH, business units: DIRECTV U.S. and DIRECTV Latin America, which are differentiated by their geographic location and are engaged in acquiring, promoting, selling and distributing digital entertainment programming via satellite to residential and commercial subscribers. In addition, the Company owns and operate two regional sports networks, or RSNs, hold a minority ownership interest in ROOT SPORTS Northwest and own a 42% interest in Game Show Network, LLC, or GSN, a television network dedicated to game-related programming and Internet interactive game playing. The Company face substantial competition in the MVPD industry and from emerging digital media distribution providers. Its competition includes companies that offer video, audio, interactive programming, telephony, data and other entertainment services, such as cable television, other DTH companies, telcos, wireless companies and companies that are developing new technologies, including online video distributors. The Company provides services in PanAmericana and Brazil from leased transponders on two geosynchronous satellites. Sky Mexico provides its services from leased transponders on a separate satellite. In addition, it leases a backup satellite that serves Sky Brasil and Sky Mexico. The Company is subject to government regulation in the United States, by the FCC and by other federal, state and local authorities. The Company is subject to similar regulatory agencies in Latin America. It is also subject to the rules and procedures of the International Telecommunication Union, or ITU, a agency of the United Nations, which coordinates telecommunications networks and services.

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