Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP) Debt-to-EBITDA : 4.80 (As of Mar. 2026) — 111% Above Median

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KUW:SHIP Heavy Engineering Industries and Shipbuilding Co KSC KUW:SHIP
83 GF Score
Price KWD0.64
GF Value KWD1.06
Valuation Possible Value Trap
! 5 Warning Signs
View Full Analysis

What is Heavy Engineering Industries and Shipbuilding Co KSC Debt-to-EBITDA?

Heavy Engineering Industries and Shipbuilding Co KSC KUW:SHIP 83 Debt-to-EBITDA is 4.80 as of Mar. 2026, which is 111% above its 10-year median of 2.27. GuruFocus rates KUW:SHIP with a GF Score™ of 83/100 and a GF Value™ of KWD1.06 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 1,413 Construction companies, Heavy Engineering Industries and Shipbuilding Co KSC ranks worse than 65.39% on this metric.

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

Heavy Engineering Industries and Shipbuilding Co KSC's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was KWD63.1 Mil. Heavy Engineering Industries and Shipbuilding Co KSC's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was KWD5.7 Mil. Heavy Engineering Industries and Shipbuilding Co KSC's annualized EBITDA for the quarter that ended in Mar. 2026 was KWD14.4 Mil. Heavy Engineering Industries and Shipbuilding Co KSC's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 was 4.80.

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 Heavy Engineering Industries and Shipbuilding Co KSC's Debt-to-EBITDA or its related term are showing as below:

KUW:SHIP' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 1.74   Med: 2.27   Max: 3.63
Current: 3.63

During the past 13 years, the highest Debt-to-EBITDA Ratio of Heavy Engineering Industries and Shipbuilding Co KSC was 3.63. The lowest was 1.74. And the median was 2.27.

KUW:SHIP's Debt-to-EBITDA is ranked worse than
65.39% of 1413 companies
in the Construction industry
Industry Median: 2.1 vs KUW:SHIP: 3.63

Heavy Engineering Industries and Shipbuilding Co KSC  (KUW:SHIP) 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.


Heavy Engineering Industries and Shipbuilding Co KSC Debt-to-EBITDA Related Terms


Heavy Engineering Industries and Shipbuilding Co KSC Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Heavy Engineering Industries and Shipbuilding Co KSC'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.

Heavy Engineering Industries and Shipbuilding Co KSC Debt-to-EBITDA Chart

Heavy Engineering Industries and Shipbuilding Co KSC 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 2.28 3.23 1.90 2.51 2.70

Heavy Engineering Industries and Shipbuilding Co KSC 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 3.28 2.28 3.10 1.92 4.80

KUW:SHIP vs PWR, FIX, EME: Debt-to-EBITDA Comparison

For the Engineering & Construction subindustry, Heavy Engineering Industries and Shipbuilding Co KSC'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.


Heavy Engineering Industries and Shipbuilding Co KSC Debt-to-EBITDA vs Construction Industry

For the Construction industry and Industrials sector, Heavy Engineering Industries and Shipbuilding Co KSC's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Heavy Engineering Industries and Shipbuilding Co KSC's Debt-to-EBITDA falls into.


KUW:SHIP
83GF Score
Heavy Engineering Industries and Shipbuilding Co KSC KUW:SHIP
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Heavy Engineering Industries and Shipbuilding Co KSC Debt-to-EBITDA Calculation

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

Heavy Engineering Industries and Shipbuilding Co KSC'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
=(45.72 + 6.253) / 19.258
=2.70

Heavy Engineering Industries and Shipbuilding Co KSC'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
=(63.133 + 5.727) / 14.352
=4.80

* 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 4.80 mean?
Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP) has a Debt-to-EBITDA of 4.80 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 Heavy Engineering Industries and Shipbuilding Co KSC. This is 111% above median its historical median of 2.27. Over the past decade, Heavy Engineering Industries and Shipbuilding Co KSC's Debt-to-EBITDA has ranged from 1.74 to 3.63. According to the industry distribution chart, Heavy Engineering Industries and Shipbuilding Co KSC ranks #924 out of 1413 companies in the Construction industry, placing it in the top 65.4%.
Is Heavy Engineering Industries and Shipbuilding Co KSC's Debt-to-EBITDA too high?
Heavy Engineering Industries and Shipbuilding Co KSC's current Debt-to-EBITDA of 4.80 is 111% above median its 10-year median of 2.27. Over the past 10 years, this metric has ranged from a low of 1.74 to a high of 3.63. The Construction industry median Debt-to-EBITDA is 2.10. Heavy Engineering Industries and Shipbuilding Co KSC's value of 4.80 is 128.6% above this industry median. Based on the distribution chart, Heavy Engineering Industries and Shipbuilding Co KSC ranks #924 out of 1413 companies in the Construction industry, which is below the industry midpoint. Overall, Heavy Engineering Industries and Shipbuilding Co KSC has a GF Score™ of 83/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Heavy Engineering Industries and Shipbuilding Co KSC's Debt-to-EBITDA compare to PWR and FIX?
According to the Construction industry distribution chart, Heavy Engineering Industries and Shipbuilding Co KSC ranks #924 out of 1413 companies for Debt-to-EBITDA. This places Heavy Engineering Industries and Shipbuilding Co KSC in the lower half of its industry. The industry median Debt-to-EBITDA is 2.10. Heavy Engineering Industries and Shipbuilding Co KSC's value of 4.80 is 128.6% above this benchmark. Historically, Heavy Engineering Industries and Shipbuilding Co KSC's own Debt-to-EBITDA has ranged from 1.74 to 3.63 over the past decade. While the company's 10-year median is 2.27 vs. the industry median of 2.10, Heavy Engineering Industries and Shipbuilding Co KSC 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 Construction company?
The median Debt-to-EBITDA among Construction companies is 2.10, based on 1,413 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. Heavy Engineering Industries and Shipbuilding Co KSC's current Debt-to-EBITDA of 4.80 is 128.6% 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 Heavy Engineering Industries and Shipbuilding Co KSC. For the Construction industry, the median Debt-to-EBITDA is 2.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Heavy Engineering Industries and Shipbuilding Co KSC's current Debt-to-EBITDA is 4.80, which is 111% above median its own 10-year median of 2.27. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Heavy Engineering Industries and Shipbuilding Co KSC stock overvalued right now?
Based on GuruFocus' analysis, Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP) is currently considered Possible Value Trap. The stock's GF Value™ is KWD1.06, compared to a current price of KWD0.64 — trading 40% below its estimated fair value. The current Debt-to-EBITDA is 4.80, which is 111% above median its 10-year median of 2.27 and 128.6% above the Construction industry median of 2.10. Heavy Engineering Industries and Shipbuilding Co KSC's overall GF Score™ is 83/100 with 5 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 Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP), the current Debt-to-EBITDA is 4.80 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 Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP) Overvalued in 2026?

Based on GuruFocus' analysis, Heavy Engineering Industries and Shipbuilding Co KSC stock appears to be undervalued. The current stock price of KWD0.64 is trading 40% below its estimated GF Value™ of KWD1.06. GuruFocus considers Heavy Engineering Industries and Shipbuilding Co KSC to be Possible Value Trap.

Key valuation signals for KUW:SHIP:

  • Debt-to-EBITDA: 4.80 (111% above median its 10-year median of 2.27)
  • GF Value™: KWD1.06 vs. price of KWD0.64 (40% below fair value)
  • GF Score™: 83/100 with 5 warning signs
  • Industry Position: 128.6% above the Construction median (#924 of 1413)

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


Heavy Engineering Industries and Shipbuilding Co KSC Business Description

Address Shuwaik Port, Gate No.7, P.O. Box 21998, Safat, Kuwait, KWT, 13080
Heavy Engineering Industries and Shipbuilding Co KSC is engaged in engineering, procurement, and construction (EPC) contracting, focusing on the shipping and maritime industry in Kuwait. The Company serves sectors including oil and gas, refineries, petrochemicals, power, water distillation and desalination, shipbuilding, ship repair, dredging, and maritime construction. Its activities include industrial and marine works, installation and maintenance services, trading of equipment and spare parts, and contracting and tendering with international companies. It also provides services such as shipyard operations, fabrication, testing and calibration, quality control, scaffolding, galvanizing, onshore and offshore operations, technical manpower supply, and design and engineering services.
83GF Score

Get the complete analysis for KUW:SHIP

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

KWD0.64
Price
KWD1.06
GF Value