Ramco SystemsNSE:RAMCOSYS +10.00%63 Debt-to-EBITDA is 0.23 as of Mar. 2026, which is 41% below its 10-year median of 0.39. GuruFocus rates NSE:RAMCOSYS with a GF Score™ of 63/100 and a GF Value™ of ₹459.90 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 1,701 Software companies, Ramco Systems ranks better than 73.49% 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 Ramco Systems's Debt-to-EBITDA or its related term are showing as below:
NSE:RAMCOSYS'
s Debt-to-EBITDA Range Over the Past 10 Years
Min: -0.82 Med: 0.39 Max: 7.92
Current: 0.3
During the past 13 years, the highest Debt-to-EBITDA Ratio of Ramco Systems was 7.92. The lowest was -0.82. And the median was 0.39.
NSE:RAMCOSYS's Debt-to-EBITDA is ranked better than 73.49% of 1701
companies
in the Software industry
Industry Median: 1.08
vs NSE:RAMCOSYS: 0.30
Ramco Systems (NSE:RAMCOSYS) Debt-to-EBITDA Explanation
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.
Ramco Systems Debt-to-EBITDA Related Terms
Ramco Systems Debt-to-EBITDA Historical Data
* Premium members only.
The historical data trend for Ramco Systems'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.
NSE:RAMCOSYS vs UBER, SHOP, CRM: Debt-to-EBITDA Comparison
For the Software - Application subindustry, Ramco Systems'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.
Ramco Systems Debt-to-EBITDA vs Software Industry
For the Software industry and Technology sector, Ramco Systems's Debt-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Ramco Systems'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.
Ramco Systems (NSE:RAMCOSYS) has a Debt-to-EBITDA of 0.23 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 Ramco Systems. This is 41% below median its historical median of 0.39. According to the industry distribution chart, Ramco Systems ranks #451 out of 1701 companies in the Software industry, placing it in the top 26.5%.
Is Ramco Systems' Debt-to-EBITDA too high?
Ramco Systems' current Debt-to-EBITDA of 0.23 is 41% below median its 10-year median of 0.39. The Software industry median Debt-to-EBITDA is 1.08. Ramco Systems' value of 0.23 is 78.7% below this industry median. Based on the distribution chart, Ramco Systems ranks #451 out of 1701 companies in the Software industry, which is above the industry midpoint. Overall, Ramco Systems has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ramco Systems' Debt-to-EBITDA compare to UBER and SHOP?
According to the Software industry distribution chart, Ramco Systems ranks #451 out of 1701 companies for Debt-to-EBITDA. This puts Ramco Systems in the upper half of its industry. The industry median Debt-to-EBITDA is 1.08. Ramco Systems' value of 0.23 is 78.7% below this benchmark. While the company's 10-year median is 0.39 vs. the industry median of 1.08, Ramco Systems 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 a Software company?
The median Debt-to-EBITDA among Software companies is 1.08, based on 1,701 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. Ramco Systems's current Debt-to-EBITDA of 0.23 is 78.7% 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 Ramco Systems. For the Software industry, the median Debt-to-EBITDA is 1.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ramco Systems's current Debt-to-EBITDA is 0.23, which is 41% below median its own 10-year median of 0.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ramco Systems stock overvalued right now?
Based on GuruFocus' analysis, Ramco Systems (NSE:RAMCOSYS) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹459.90, compared to a current price of ₹879.55 — trading 91.2% above its estimated fair value. The current Debt-to-EBITDA is 0.23, which is 41% below median its 10-year median of 0.39 and 78.7% below the Software industry median of 1.08. Ramco Systems' overall GF Score™ is 63/100 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 Ramco Systems (NSE:RAMCOSYS), the current Debt-to-EBITDA is 0.23 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 Ramco Systems (NSE:RAMCOSYS) Overvalued in 2026?
Based on GuruFocus' analysis, Ramco Systems stock appears to be overvalued.
The current stock price of ₹879.55 is trading 91.2% above its estimated GF Value™ of ₹459.90.
GuruFocus considers Ramco Systems to be Significantly Overvalued.
Key valuation signals for NSE:RAMCOSYS:
Debt-to-EBITDA: 0.23 (41% below median its 10-year median of 0.39)
GF Value™: ₹459.90 vs. price of ₹879.55 (91.2% above fair value)
Industry Position: 78.7% below the Software median (#451 of 1701)
No single metric tells the full story. See the NSE:RAMCOSYS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ramco Systems Ltd develops software and software products for human capital management, payroll, enterprise resource management, monitoring and evaluation, and maintenance, repair, and overhaul providers in the Aviation industry. The company develops software through its enterprise application assembly and delivery platform Ramco VirtualWorks for transaction systems and Ramco Decision Works for analytics/reporting. The product portfolio of the company includes aviation, aerospace & defense management software, enterprise resource planning software, and payroll & logistics software on the cloud. It as only one operating segment which is Software Solutions & Services.
63GF Score
Get the complete analysis for NSE:RAMCOSYS
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