RAVE (Rave Restaurant Group) Debt-to-EBITDA : 0.07 (As of Mar. 2026) — 86% Below Median

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RAVE Rave Restaurant Group Inc RAVE
80 GF Score
Price $3.14
GF Value $2.76
Valuation Modestly Overvalued
View Full Analysis

What is Rave Restaurant Group Debt-to-EBITDA?

Rave Restaurant Group RAVE 80 Debt-to-EBITDA is 0.07 as of Mar. 2026, which is 86% below its 10-year median of 0.50. GuruFocus rates RAVE with a GF Score™ of 80/100 and a GF Value™ of $2.76 (Modestly Overvalued). Among 302 Restaurants companies, Rave Restaurant Group ranks better than 99.01% on this metric.

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

Rave Restaurant Group's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was $0.29 Mil. Rave Restaurant Group's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was $0.01 Mil. Rave Restaurant Group's annualized EBITDA for the quarter that ended in Mar. 2026 was $4.31 Mil. Rave Restaurant Group's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 was 0.07.

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 Rave Restaurant Group's Debt-to-EBITDA or its related term are showing as below:

RAVE' s Debt-to-EBITDA Range Over the Past 10 Years
Min: -6.86   Med: 0.5   Max: 173.56
Current: 0.07

During the past 13 years, the highest Debt-to-EBITDA Ratio of Rave Restaurant Group was 173.56. The lowest was -6.86. And the median was 0.50.

RAVE's Debt-to-EBITDA is ranked better than
99.01% of 302 companies
in the Restaurants industry
Industry Median: 2.93 vs RAVE: 0.07

Rave Restaurant Group  (NAS:RAVE) 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.


Rave Restaurant Group Debt-to-EBITDA Related Terms


Rave Restaurant Group Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Rave Restaurant Group'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.

Rave Restaurant Group Debt-to-EBITDA Chart

Rave Restaurant Group Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.81 0.64 0.50 0.27 0.15

Rave Restaurant Group 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 0.17 0.11 0.14 0.11 0.07

RAVE vs THCH, STKS, MB: Debt-to-EBITDA Comparison

For the Restaurants subindustry, Rave Restaurant Group'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.


Rave Restaurant Group Debt-to-EBITDA vs Restaurants Industry

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

* The bar in red indicates where Rave Restaurant Group's Debt-to-EBITDA falls into.


RAVE
80GF Score
Rave Restaurant Group Inc RAVE
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Rave Restaurant Group Debt-to-EBITDA Calculation

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

Rave Restaurant Group's Debt-to-EBITDA for the fiscal year that ended in Jun. 2025 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(0.37 + 0.206) / 3.8
=0.15

Rave Restaurant Group'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
=(0.286 + 0.013) / 4.312
=0.07

* 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 0.07 mean?
Rave Restaurant Group (RAVE) has a Debt-to-EBITDA of 0.07 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 Rave Restaurant Group. This is 86% below median its historical median of 0.50. According to the industry distribution chart, Rave Restaurant Group ranks #3 out of 302 companies in the Restaurants industry, placing it in the top 1%.
Is Rave Restaurant Group's Debt-to-EBITDA too high?
Rave Restaurant Group's current Debt-to-EBITDA of 0.07 is 86% below median its 10-year median of 0.50. The Restaurants industry median Debt-to-EBITDA is 2.93. Rave Restaurant Group's value of 0.07 is 97.6% below this industry median. Based on the distribution chart, Rave Restaurant Group ranks #3 out of 302 companies in the Restaurants industry, which is in the top quartile — a strong position relative to peers. Overall, Rave Restaurant Group has a GF Score™ of 80/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Rave Restaurant Group's Debt-to-EBITDA compare to THCH and STKS?
According to the Restaurants industry distribution chart, Rave Restaurant Group ranks #3 out of 302 companies for Debt-to-EBITDA. This places Rave Restaurant Group in the top 1% of its industry — outperforming the majority of peers. The industry median Debt-to-EBITDA is 2.93. Rave Restaurant Group's value of 0.07 is 97.6% below this benchmark. While the company's 10-year median is 0.50 vs. the industry median of 2.93, Rave Restaurant Group 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 Restaurants company?
The median Debt-to-EBITDA among Restaurants companies is 2.93, 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. Rave Restaurant Group's current Debt-to-EBITDA of 0.07 is 97.6% 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 Rave Restaurant Group. For the Restaurants industry, the median Debt-to-EBITDA is 2.93 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rave Restaurant Group's current Debt-to-EBITDA is 0.07, which is 86% below median its own 10-year median of 0.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rave Restaurant Group stock overvalued right now?
Based on GuruFocus' analysis, Rave Restaurant Group (RAVE) is currently considered Modestly Overvalued. The stock's GF Value™ is $2.76, compared to a current price of $3.14 — trading 13.8% above its estimated fair value. The current Debt-to-EBITDA is 0.07, which is 86% below median its 10-year median of 0.50 and 97.6% below the Restaurants industry median of 2.93. Rave Restaurant Group's overall GF Score™ is 80/100. 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 Rave Restaurant Group (RAVE), the current Debt-to-EBITDA is 0.07 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 Rave Restaurant Group (RAVE) Overvalued in 2026?

Based on GuruFocus' analysis, Rave Restaurant Group stock appears to be overvalued. The current stock price of $3.14 is trading 13.8% above its estimated GF Value™ of $2.76. GuruFocus considers Rave Restaurant Group to be Modestly Overvalued.

Key valuation signals for RAVE:

  • Debt-to-EBITDA: 0.07 (86% below median its 10-year median of 0.50)
  • GF Value™: $2.76 vs. price of $3.14 (13.8% above fair value)
  • GF Score™: 80/100
  • Industry Position: 97.6% below the Restaurants median (#3 of 302)

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


Rave Restaurant Group Business Description

Address 3551 Plano Parkway, The Colony, TX, USA, 75056
Rave Restaurant Group Inc operates and franchises pizza buffet, delivery/carry-out, express restaurants, and ghost kitchens. It operates restaurants under the brand name, Pizza Inn, and Pie Five Pizza Company. It has three operating segments. The Pizza Inn Franchising and Pie Five Franchising segments establish franchisees, licensees, and territorial rights. The corporate administration and other segments. The Pizza Inn Franchising segment accounts for the majority of the company's revenue. Geographically, it generates the majority of the revenue from the United States.
80GF Score

Get the complete analysis for RAVE

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

$3.14
Price
$2.76
GF Value