FreightCar America (FRA:FAR) Debt-to-EBITDA : 0.72 (As of Mar. 2026)

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FRA:FAR FreightCar America Inc FRA:FAR
74 GF Score
Price €7.15
GF Value €5.28
Valuation Significantly Overvalued
! 4 Warning Signs
View Full Analysis

What is FreightCar America Debt-to-EBITDA?

FreightCar America FRA:FAR 74 Debt-to-EBITDA is 0.72 as of Mar. 2026. GuruFocus rates FRA:FAR with a GF Score™ of 74/100 and a GF Value™ of €5.28 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 870 Transportation companies, FreightCar America ranks worse than 97.93% on this metric.

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

FreightCar America's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was €4.2 Mil. FreightCar America's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was €121.9 Mil. FreightCar America's annualized EBITDA for the quarter that ended in Mar. 2026 was €175.0 Mil. FreightCar America's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 was 0.72.

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

FRA:FAR' s Debt-to-EBITDA Range Over the Past 10 Years
Min: -30.69   Med: -2.78   Max: 27.24
Current: 27.24

During the past 13 years, the highest Debt-to-EBITDA Ratio of FreightCar America was 27.24. The lowest was -30.69. And the median was -2.78.

FRA:FAR's Debt-to-EBITDA is ranked worse than
97.93% of 870 companies
in the Transportation industry
Industry Median: 2.645 vs FRA:FAR: 27.24

FreightCar America  (FRA:FAR) 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.


FreightCar America Debt-to-EBITDA Related Terms


FreightCar America Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for FreightCar America'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.

FreightCar America Debt-to-EBITDA Chart

FreightCar America 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 -4.29 -18.24 -30.69 -2.78 11.81

FreightCar America Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 0.68 -1.09 -27.17 -4.36 0.72

FRA:FAR vs FSTR, SWVL, RVSN: Debt-to-EBITDA Comparison

For the Railroads subindustry, FreightCar America'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.


FreightCar America Debt-to-EBITDA vs Transportation Industry

For the Transportation industry and Industrials sector, FreightCar America's Debt-to-EBITDA distribution charts can be found below:

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


FRA:FAR
74GF Score
FreightCar America Inc FRA:FAR
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

FreightCar America Debt-to-EBITDA Calculation

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

FreightCar America'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
=(9.92 + 120.198) / 11.014
=11.81

FreightCar America's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(4.162 + 121.866) / 174.96
=0.72

* 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. 2026) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of 0.72 mean?
FreightCar America (FRA:FAR) has a Debt-to-EBITDA of 0.72 as of Mar. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on FreightCar America. According to the industry distribution chart, FreightCar America ranks #852 out of 870 companies in the Transportation industry, placing it in the top 97.9%.
Is FreightCar America's Debt-to-EBITDA too high?
FreightCar America's current Debt-to-EBITDA is 0.72. The Transportation industry median Debt-to-EBITDA is 2.65. FreightCar America's value of 0.72 is 72.8% below this industry median. Based on the distribution chart, FreightCar America ranks #852 out of 870 companies in the Transportation industry, which is in the bottom quartile relative to peers. Overall, FreightCar America has a GF Score™ of 74/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does FreightCar America's Debt-to-EBITDA compare to FSTR and SWVL?
According to the Transportation industry distribution chart, FreightCar America ranks #852 out of 870 companies for Debt-to-EBITDA. This places FreightCar America in the lower half of its industry. The industry median Debt-to-EBITDA is 2.65. FreightCar America's value of 0.72 is 72.8% 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 a Transportation company?
The median Debt-to-EBITDA among Transportation companies is 2.65, based on 870 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. FreightCar America's current Debt-to-EBITDA of 0.72 is 72.8% 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 FreightCar America. For the Transportation industry, the median Debt-to-EBITDA is 2.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. FreightCar America's current Debt-to-EBITDA is 0.72. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is FreightCar America stock overvalued right now?
Based on GuruFocus' analysis, FreightCar America (FRA:FAR) is currently considered Significantly Overvalued. The stock's GF Value™ is €5.28, compared to a current price of €7.15 — trading 35.4% above its estimated fair value. The current Debt-to-EBITDA is 0.72 and 72.8% below the Transportation industry median of 2.65. FreightCar America's overall GF Score™ is 74/100 with 4 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 FreightCar America (FRA:FAR), the current Debt-to-EBITDA is 0.72 as of Mar. 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 FreightCar America (FRA:FAR) Overvalued in 2026?

Based on GuruFocus' analysis, FreightCar America stock appears to be overvalued. The current stock price of €7.15 is trading 35.4% above its estimated GF Value™ of €5.28. GuruFocus considers FreightCar America to be Significantly Overvalued.

Key valuation signals for FRA:FAR:

  • Debt-to-EBITDA: 0.72
  • GF Value™: €5.28 vs. price of €7.15 (35.4% above fair value)
  • GF Score™: 74/100 with 4 warning signs
  • Industry Position: 72.8% below the Transportation median (#852 of 870)

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


FreightCar America Business Description

Other Exchanges RAIL:USA
Address 125 South Wacker Drive, Suite 1500, Chicago, IL, USA, 60606
FreightCar America Inc is a diversified manufacturer and supplier of railcars and railcar components. It designs and manufactures a variety of railcar types for transportation of bulk commodities and containerized freight products in North America. The company also provides railcar rebody and repair services, railcar conversion services, and supplies railcar parts. The company has two segments: Manufacturing and Aftermarket. The majority of the company's revenue is derived from the Manufacturing segment, which includes new railcar manufacturing, used railcar sales, and various conversions and rebodies. Geographically, it generates the maximum revenue from the United States.
74GF Score

Get the complete analysis for FRA:FAR

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

€7.15
Price
€5.28
GF Value