GROM (Grom Social Enterprises) Debt-to-EBITDA : -0.55 (As of Mar. 2024)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

GROM Grom Social Enterprises Inc GROM
12 GF Score
Price $0.00
View Full Analysis

What is Grom Social Enterprises Debt-to-EBITDA?

Grom Social Enterprises GROM 12 Debt-to-EBITDA is -0.55 as of Mar. 2024. GuruFocus rates GROM with a GF Score™ of 12/100.

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

Grom Social Enterprises's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was $0.55 Mil. Grom Social Enterprises's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was $0.56 Mil. Grom Social Enterprises's annualized EBITDA for the quarter that ended in Mar. 2024 was $-2.01 Mil. Grom Social Enterprises's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 was -0.55.

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 Grom Social Enterprises's Debt-to-EBITDA or its related term are showing as below:

GROM's Debt-to-EBITDA is not ranked *
in the Interactive Media industry.
Industry Median: 0.62
* Ranked among companies with meaningful Debt-to-EBITDA only.

Grom Social Enterprises  (OTCPK:GROM) 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.


Grom Social Enterprises Debt-to-EBITDA Related Terms


Grom Social Enterprises Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Grom Social Enterprises'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.

Grom Social Enterprises Debt-to-EBITDA Chart

Grom Social Enterprises Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only -3.14 -1.12 -0.61 -0.14 -0.13

Grom Social Enterprises Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -0.27 -0.17 -0.14 -0.06 -0.55

GROM vs FMHS, HMLA, GOOGL: Debt-to-EBITDA Comparison

For the Internet Content & Information subindustry, Grom Social Enterprises'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.


Grom Social Enterprises Debt-to-EBITDA vs Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Grom Social Enterprises's Debt-to-EBITDA distribution charts can be found below:

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


GROM
12GF Score
Grom Social Enterprises Inc GROM
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Grom Social Enterprises Debt-to-EBITDA Calculation

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

Grom Social Enterprises'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
=(0.46 + 1.155) / -12.353
=-0.13

Grom Social Enterprises'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
=(0.55 + 0.561) / -2.008
=-0.55

* 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.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of -0.55 mean?
Grom Social Enterprises (GROM) has a Debt-to-EBITDA of -0.55 as of Mar. 2024. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Grom Social Enterprises.
Is Grom Social Enterprises' Debt-to-EBITDA too high?
Grom Social Enterprises' current Debt-to-EBITDA is -0.55. Overall, Grom Social Enterprises has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Grom Social Enterprises' Debt-to-EBITDA compare to FMHS and HMLA?
Grom Social Enterprises' Debt-to-EBITDA of -0.55 can be compared against companies in the Interactive Media industry. The industry median Debt-to-EBITDA is 0.62. 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 Interactive Media company?
The median Debt-to-EBITDA among Interactive Media companies is 0.62, based on 300 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. 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 Grom Social Enterprises. For the Interactive Media industry, the median Debt-to-EBITDA is 0.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Grom Social Enterprises's current Debt-to-EBITDA is -0.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Grom Social Enterprises stock overvalued right now?
Grom Social Enterprises (GROM) has a current Debt-to-EBITDA of -0.55. The current Debt-to-EBITDA is -0.55. Grom Social Enterprises' overall GF Score™ is 12/100. 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 Grom Social Enterprises (GROM), the current Debt-to-EBITDA is -0.55 as of Mar. 2024. 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.

Grom Social Enterprises Business Description

Address 2060 NW Boca Raton Boulevard, Suite 6, Boca Raton, FL, USA, 33431
Grom Social Enterprises Inc is a social media, technology, and entertainment company for kids focused on producing original content. In addition to providing a social media platform, the company creates content consisting of animated characters, interactive charts, videos, blogs, and games. It has three reportable business segments: Animation, which includes TDH; Original Content, which includes CIM; and Social & Technology, which includes GSOC and GEDU. The majority of its revenue is from the Animation segment.
12GF Score

Get the complete analysis for GROM

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

$0.00
Price