BPLTS:0HKP -1.36%70 Debt-to-EBITDA is 1.43 as of Mar. 2026, which is 36% below its 10-year median of 2.25. GuruFocus rates LTS:0HKP with a GF Score™ of 70/100 and a GF Value™ of $35.86 (Fairly Valued). The stock has 6 warning signs investors should review. Among 703 Oil & Gas companies, BP ranks worse than 51.64% on this metric.
Debt-to-EBITDA measures a company's ability to pay off its debt.
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 BP's Debt-to-EBITDA or its related term are showing as below:
LTS:0HKP'
s Debt-to-EBITDA Range Over the Past 10 Years
Min: -11.63 Med: 2.25 Max: 4.2
Current: 2.14
During the past 13 years, the highest Debt-to-EBITDA Ratio of BP was 4.20. The lowest was -11.63. And the median was 2.25.
LTS:0HKP's Debt-to-EBITDA is ranked worse than 51.64% of 703
companies
in the Oil & Gas industry
Industry Median: 2.02
vs LTS:0HKP: 2.14
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.
BP Debt-to-EBITDA Related Terms
BP Debt-to-EBITDA Historical Data
* Premium members only.
The historical data trend for BP'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.
For the Oil & Gas Integrated subindustry, BP'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.
BP Debt-to-EBITDA vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, BP's Debt-to-EBITDA distribution charts can be found below:
* The bar in red indicates where BP'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 four times the quarterly (Mar. 2026) EBITDA data.
BP (LTS:0HKP) has a Debt-to-EBITDA of 1.43 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 BP. This is 36% below median its historical median of 2.25. According to the industry distribution chart, BP ranks #363 out of 703 companies in the Oil & Gas industry, placing it in the top 51.6%.
Is BP's Debt-to-EBITDA too high?
BP's current Debt-to-EBITDA of 1.43 is 36% below median its 10-year median of 2.25. The Oil & Gas industry median Debt-to-EBITDA is 2.02. BP's value of 1.43 is 29.2% below this industry median. Based on the distribution chart, BP ranks #363 out of 703 companies in the Oil & Gas industry, which is below the industry midpoint. Overall, BP has a GF Score™ of 70/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does BP's Debt-to-EBITDA compare to XOM and CVX?
According to the Oil & Gas industry distribution chart, BP ranks #363 out of 703 companies for Debt-to-EBITDA. This places BP in the lower half of its industry. The industry median Debt-to-EBITDA is 2.02. BP's value of 1.43 is 29.2% below this benchmark. While the company's 10-year median is 2.25 vs. the industry median of 2.02, BP has consistently been below 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 an Oil & Gas company?
The median Debt-to-EBITDA among Oil & Gas companies is 2.02, based on 703 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. BP's current Debt-to-EBITDA of 1.43 is 29.2% 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 BP. For the Oil & Gas industry, the median Debt-to-EBITDA is 2.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. BP's current Debt-to-EBITDA is 1.43, which is 36% below median its own 10-year median of 2.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is BP stock overvalued right now?
Based on GuruFocus' analysis, BP (LTS:0HKP) is currently considered Fairly Valued. The stock's GF Value™ is $35.86, compared to a current price of $37.02 — trading 3.2% above its estimated fair value. The current Debt-to-EBITDA is 1.43, which is 36% below median its 10-year median of 2.25 and 29.2% below the Oil & Gas industry median of 2.02. BP's overall GF Score™ is 70/100 with 6 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 BP (LTS:0HKP), the current Debt-to-EBITDA is 1.43 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 BP (LTS:0HKP) Overvalued in 2026?
Based on GuruFocus' analysis, BP stock appears to be overvalued.
The current stock price of $37.02 is trading 3.2% above its estimated GF Value™ of $35.86.
GuruFocus considers BP to be Fairly Valued.
Key valuation signals for LTS:0HKP:
Debt-to-EBITDA: 1.43 (36% below median its 10-year median of 2.25)
GF Value™: $35.86 vs. price of $37.02 (3.2% above fair value)
Industry Position: 29.2% below the Oil & Gas median (#363 of 703)
No single metric tells the full story. See the LTS:0HKP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
BP is an integrated energy company that explores for, produces, and refines oil and gas around the world. In 2025, it produced 1.2 million barrels of liquids and 6.5 billion cubic feet of natural gas per day. At the end of 2025, proved hydrocarbon reserves stood at 6.2 billion barrels of oil equivalent, 56% of which are liquids. The company operates refineries with a total crude distillation capacity of 1.56 million barrels of oil per day.
70GF Score
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