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eFFECTOR Therapeutics (FRA:LWK) Debt-to-EBITDA : -0.63 (As of Mar. 2024)


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What is eFFECTOR Therapeutics Debt-to-EBITDA?

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

eFFECTOR Therapeutics's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was €18.46 Mil. eFFECTOR Therapeutics's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was €0.17 Mil. eFFECTOR Therapeutics's annualized EBITDA for the quarter that ended in Mar. 2024 was €-29.65 Mil. eFFECTOR Therapeutics's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 was -0.63.

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

FRA:LWK' s Debt-to-EBITDA Range Over the Past 10 Years
Min: -1   Med: 0.09   Max: 1.14
Current: -0.64

During the past 4 years, the highest Debt-to-EBITDA Ratio of eFFECTOR Therapeutics was 1.14. The lowest was -1.00. And the median was 0.09.

FRA:LWK's Debt-to-EBITDA is ranked worse than
100% of 279 companies
in the Biotechnology industry
Industry Median: 1.36 vs FRA:LWK: -0.64

eFFECTOR Therapeutics Debt-to-EBITDA Historical Data

The historical data trend for eFFECTOR Therapeutics'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.

eFFECTOR Therapeutics Debt-to-EBITDA Chart

eFFECTOR Therapeutics Annual Data
Trend Dec20 Dec21 Dec22 Dec23
Debt-to-EBITDA
0.81 1.14 -1.00 -0.63

eFFECTOR Therapeutics Quarterly Data
Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 -0.55 -0.67 -0.68 -0.62 -0.63

Competitive Comparison of eFFECTOR Therapeutics's Debt-to-EBITDA

For the Biotechnology subindustry, eFFECTOR Therapeutics'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.


eFFECTOR Therapeutics's Debt-to-EBITDA Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, eFFECTOR Therapeutics's Debt-to-EBITDA distribution charts can be found below:

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



eFFECTOR Therapeutics Debt-to-EBITDA Calculation

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

eFFECTOR Therapeutics's Debt-to-EBITDA for the fiscal year that ended in Dec. 2023 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(18.84 + 0) / -30.06
=-0.63

eFFECTOR Therapeutics's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(18.463 + 0.165) / -29.648
=-0.63

* 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. 2024) EBITDA data.


eFFECTOR Therapeutics  (FRA:LWK) 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.


eFFECTOR Therapeutics Debt-to-EBITDA Related Terms

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


eFFECTOR Therapeutics (FRA:LWK) Business Description

Traded in Other Exchanges
Address
142 North Cedros Avenue, Suite B, Solana Beach, CA, USA, 92075
eFFECTOR Therapeutics Inc is a clinical-stage biopharmaceutical company focused on pioneering the development of a new class of oncology drugs referred to as selective translation regulator inhibitors (STRIs).

eFFECTOR Therapeutics (FRA:LWK) Headlines

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