OTG (Otg Exp) Debt-to-EBITDA : 16.91 (As of Dec. 2014)

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.

What is Otg Exp Debt-to-EBITDA?

Otg Exp OTG Debt-to-EBITDA is 16.91 as of Dec. 2014.

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

Otg Exp's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2014 was $3.76 Mil. Otg Exp's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2014 was $379.12 Mil. Otg Exp's annualized EBITDA for the quarter that ended in Dec. 2014 was $22.64 Mil. Otg Exp's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2014 was 16.91.

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 Otg Exp's Debt-to-EBITDA or its related term are showing as below:

OTG's Debt-to-EBITDA is not ranked *
in the Restaurants industry.
Industry Median: 2.915
* Ranked among companies with meaningful Debt-to-EBITDA only.

Otg Exp  (NAS:OTG) 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.


Otg Exp Debt-to-EBITDA Related Terms


Otg Exp Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Otg Exp'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.

Otg Exp Debt-to-EBITDA Chart

Otg Exp Annual Data
Trend Dec13 Dec14
Debt-to-EBITDA
16.51 16.91

Otg Exp Semi-Annual Data
Dec13 Dec14
Debt-to-EBITDA 16.51 16.91

OTG vs IRGTQ, CDIF, STRZ: Debt-to-EBITDA Comparison

For the Restaurants subindustry, Otg Exp'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.


Otg Exp Debt-to-EBITDA vs Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Otg Exp's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Otg Exp's Debt-to-EBITDA falls into.



Otg Exp Debt-to-EBITDA Calculation

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

Otg Exp's Debt-to-EBITDA for the fiscal year that ended in Dec. 2014 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(3.757 + 379.123) / 22.637
=16.91

Otg Exp's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2014 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(3.757 + 379.123) / 22.637
=16.91

* 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 one times the quarterly (Dec. 2014) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of 16.91 mean?
Otg Exp (OTG) has a Debt-to-EBITDA of 16.91 as of Dec. 2014. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Otg Exp.
Is Otg Exp's Debt-to-EBITDA too high?
Otg Exp's current Debt-to-EBITDA is 16.91. The Restaurants industry median Debt-to-EBITDA is 2.92. Otg Exp's value of 16.91 is 480.1% above this industry median.
How does Otg Exp's Debt-to-EBITDA compare to IRGTQ and CDIF?
Otg Exp's Debt-to-EBITDA of 16.91 can be compared against companies in the Restaurants industry. The industry median Debt-to-EBITDA is 2.92. Otg Exp's value of 16.91 is 480.1% above this benchmark. 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 Restaurants company?
The median Debt-to-EBITDA among Restaurants companies is 2.92, based on 302 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. Otg Exp's current Debt-to-EBITDA of 16.91 is 480.1% 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 Otg Exp. For the Restaurants industry, the median Debt-to-EBITDA is 2.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Otg Exp's current Debt-to-EBITDA is 16.91. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Otg Exp stock overvalued right now?
Otg Exp (OTG) has a current Debt-to-EBITDA of 16.91. The current Debt-to-EBITDA is 16.91 and 480.1% above the Restaurants industry median of 2.92. 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 Otg Exp (OTG), the current Debt-to-EBITDA is 16.91 as of Dec. 2014. 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.

Otg Exp Business Description

Otg Exp Inc was incorporated on October 27, 2015 in Delaware. It is a travel restaurateur with operations in North America with more than 220 locations in 23 terminals across 10 airports. The Company designs, develops, operates and manages the terminal concessions programs, which refers to the programs where it either operates all of the F&B concessions or F&B and N&G concessions or have management authority over the concession program or terminal. The Company operates in the United States and Canada. It has relationships with manufacturers that deliver products directly to its concession locations. OTG's customers are comprised of two distinct groups. The first group includes airlines, such as United, Delta and JetBlue, airport operators and concession program managers. The other commercial enterprises include car rental companies, hotel chains and online shopping sites. The second group consists of the airport users, which include passengers, airline and airport employees. It competes with concession program companies, such as HMSHost Corporation, SSP Group and Hudson Group, as well as other regional and local concessionaires. The Company is subject to federal, state and local government regulations, including those relating to, among others, public health and safety, zoning and fire codes. Failure to obtain or retain food service, health permit or other licenses and approvals would adversely affect its operations.