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.
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.
REE AutomotiveREEAF Debt-to-EBITDA is -0.32 as of Dec. 2025. The stock has 7 warning signs investors should review. Among 1,098 Vehicles & Parts companies, REE Automotive ranks worse than 91074.59% 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 REE Automotive's Debt-to-EBITDA or its related term are showing as below:
REEAF'
s Debt-to-EBITDA Range Over the Past 10 Years
Min: -0.48 Med: -0.35 Max: -0.21
Current: -0.36
During the past 7 years, the highest Debt-to-EBITDA Ratio of REE Automotive was -0.21. The lowest was -0.48. And the median was -0.35.
REEAF's Debt-to-EBITDA is ranked worse than 100% of 1098
companies
in the Vehicles & Parts industry
Industry Median: 2.25
vs REEAF: -0.36
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.
REE Automotive Debt-to-EBITDA Related Terms
REE Automotive Debt-to-EBITDA Historical Data
* Premium members only.
The historical data trend for REE Automotive'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.
REEAF vs INEO, FFLO, OMTK: Debt-to-EBITDA Comparison
For the Auto Parts subindustry, REE Automotive'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.
REE Automotive Debt-to-EBITDA vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, REE Automotive's Debt-to-EBITDA distribution charts can be found below:
* The bar in red indicates where REE Automotive'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 (Dec. 2025) EBITDA data.
REE Automotive (REEAF) has a Debt-to-EBITDA of -0.32 as of Dec. 2025. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on REE Automotive. According to the industry distribution chart, REE Automotive ranks #999999 out of 1098 companies in the Vehicles & Parts industry.
Is REE Automotive's Debt-to-EBITDA too high?
REE Automotive's current Debt-to-EBITDA is -0.32. Based on the distribution chart, REE Automotive ranks #999999 out of 1098 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers.
How does REE Automotive's Debt-to-EBITDA compare to INEO and FFLO?
According to the Vehicles & Parts industry distribution chart, REE Automotive ranks #999999 out of 1098 companies for Debt-to-EBITDA. This places REE Automotive in the lower half of its industry. The industry median Debt-to-EBITDA is 2.25. 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 Vehicles & Parts company?
The median Debt-to-EBITDA among Vehicles & Parts companies is 2.25, based on 1,098 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 REE Automotive. For the Vehicles & Parts industry, the median Debt-to-EBITDA is 2.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. REE Automotive's current Debt-to-EBITDA is -0.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is REE Automotive stock overvalued right now?
Based on GuruFocus' analysis, REE Automotive (REEAF) is currently considered Possible Value Trap. The stock's GF Value™ is $2.75, compared to a current price of $0.05 — trading 98.2% below its estimated fair value. The current Debt-to-EBITDA is -0.32. 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 REE Automotive (REEAF), the current Debt-to-EBITDA is -0.32 as of Dec. 2025. 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.
REE Automotive Ltd is an automotive technology company focused on building commercial electric vehicles controlled fully by-wire. The company is in early stages of commercialization and develop and produce software-defined vehicle (SDV) technology that manages vehicle operations and features through proprietarily-developed software. The company has geographical preference in Israel, Germany, United States, United Kingdom, and other regions.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
REEAF has been successfully added to your 
