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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 Mercia Asset Management's Debt-to-EBITDA or its related term are showing as below:
LSE:MERC'
s Debt-to-EBITDA Range Over the Past 10 Years
Min: -0.25 Med: 0.01 Max: 0.18
Current: -0.25
During the past 13 years, the highest Debt-to-EBITDA Ratio of Mercia Asset Management was 0.18. The lowest was -0.25. And the median was 0.01.
LSE:MERC's Debt-to-EBITDA is ranked worse than 100% of 386
companies
in the Asset Management industry
Industry Median: 1.395
vs LSE:MERC: -0.25
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.
Mercia Asset Management Debt-to-EBITDA Related Terms
Mercia Asset Management Debt-to-EBITDA Historical Data
* 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.
LSE:MERC vs BLK, BX, KKR: Debt-to-EBITDA Comparison
For the Asset Management subindustry, Mercia Asset Management'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.
Mercia Asset Management Debt-to-EBITDA vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Mercia Asset Management's Debt-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Mercia Asset Management's Debt-to-EBITDA falls into.
* 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 two times the quarterly (Mar. 2026) EBITDA data.
Mercia Asset Management (LSE:MERC) has a Debt-to-EBITDA of -0.06 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 Mercia Asset Management. According to the industry distribution chart, Mercia Asset Management ranks #999999 out of 386 companies in the Asset Management industry.
Is Mercia Asset Management's Debt-to-EBITDA too high?
Mercia Asset Management's current Debt-to-EBITDA is -0.06. Based on the distribution chart, Mercia Asset Management ranks #999999 out of 386 companies in the Asset Management industry, which is in the bottom quartile relative to peers. Overall, Mercia Asset Management has a GF Score™ of 54/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Mercia Asset Management's Debt-to-EBITDA compare to BLK and BX?
According to the Asset Management industry distribution chart, Mercia Asset Management ranks #999999 out of 386 companies for Debt-to-EBITDA. This places Mercia Asset Management in the lower half of its industry. The industry median Debt-to-EBITDA is 1.40. 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 Asset Management company?
The median Debt-to-EBITDA among Asset Management companies is 1.40, based on 386 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 Mercia Asset Management. For the Asset Management industry, the median Debt-to-EBITDA is 1.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mercia Asset Management's current Debt-to-EBITDA is -0.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mercia Asset Management stock overvalued right now?
Based on GuruFocus' analysis, Mercia Asset Management (LSE:MERC) is currently considered Modestly Undervalued. The stock's GF Value™ is £0.33, compared to a current price of £0.27 — trading 18.9% below its estimated fair value. The current Debt-to-EBITDA is -0.06. Mercia Asset Management's overall GF Score™ is 54/100 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 Mercia Asset Management (LSE:MERC), the current Debt-to-EBITDA is -0.06 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 Mercia Asset Management (LSE:MERC) Overvalued in 2026?
Based on GuruFocus' analysis, Mercia Asset Management stock appears to be undervalued.
The current stock price of £0.27 is trading 18.9% below its estimated GF Value™ of £0.33.
GuruFocus considers Mercia Asset Management to be Modestly Undervalued.
Key valuation signals for LSE:MERC:
Debt-to-EBITDA: -0.06
GF Value™: £0.33 vs. price of £0.27 (18.9% below fair value)
No single metric tells the full story. See the LSE:MERC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Mercia Asset Management PLC is a specialist asset manager focusing on supporting regional SMEs. The company provides capital across its four asset classes proprietary balance sheet capital, venture capital, private equity, and debt. The company initially nurtures businesses via its third-party funds under management and then, over time, provides further funding to the companies by deploying direct investment follow-on capital from its balance sheet. It has more than eight offices in the UK region, approx. 20 university partnerships and extensive personal networks, providing it with access to high-quality deal flow.
54GF Score
Get the complete analysis for LSE:MERC
Debt-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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