RTNB (root9B Holdings) Debt-to-EBITDA : -0.47 (As of Mar. 2017)

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What is root9B Holdings Debt-to-EBITDA?

root9B Holdings RTNB Debt-to-EBITDA is -0.47 as of Mar. 2017.

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

root9B Holdings's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2017 was $0.75 Mil. root9B Holdings's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2017 was $6.63 Mil. root9B Holdings's annualized EBITDA for the quarter that ended in Mar. 2017 was $-15.59 Mil. root9B Holdings's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2017 was -0.47.

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 root9B Holdings's Debt-to-EBITDA or its related term are showing as below:

RTNB's Debt-to-EBITDA is not ranked *
in the Software industry.
Industry Median: 1.08
* Ranked among companies with meaningful Debt-to-EBITDA only.

root9B Holdings  (OTCPK:RTNB) 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.

root9B Holdings Debt-to-EBITDA Related Terms

root9B Holdings Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for root9B Holdings'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.

root9B Holdings Debt-to-EBITDA Chart

root9B Holdings Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.15 -0.75 -0.28 -0.16 -0.33

root9B Holdings Quarterly Data
Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17
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 -0.12 -0.12 -0.30 -0.25 -0.47

RTNB vs SYSX: Debt-to-EBITDA Comparison

For the Information Technology Services subindustry, root9B Holdings'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.

root9B Holdings Debt-to-EBITDA vs Software Industry

For the Software industry and Technology sector, root9B Holdings's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where root9B Holdings's Debt-to-EBITDA falls into.


root9B Holdings Debt-to-EBITDA Calculation

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

root9B Holdings's Debt-to-EBITDA for the fiscal year that ended in Dec. 2016 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(2.1 + 2.961) / -15.37
=-0.33

root9B Holdings's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2017 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(0.745 + 6.626) / -15.592
=-0.47

* 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. 2017) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of -0.47 mean?
root9B Holdings (RTNB) has a Debt-to-EBITDA of -0.47 as of Mar. 2017. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on root9B Holdings.
Is root9B Holdings' Debt-to-EBITDA too high?
root9B Holdings' current Debt-to-EBITDA is -0.47.
How does root9B Holdings' Debt-to-EBITDA compare to SYSX?
root9B Holdings' Debt-to-EBITDA of -0.47 can be compared against companies in the Software industry. The industry median Debt-to-EBITDA is 1.08. 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 1,716 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 root9B Holdings. 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. root9B Holdings's current Debt-to-EBITDA is -0.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is root9B Holdings stock overvalued right now?
root9B Holdings (RTNB) has a current Debt-to-EBITDA of -0.47. The current Debt-to-EBITDA is -0.47. 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 root9B Holdings (RTNB), the current Debt-to-EBITDA is -0.47 as of Mar. 2017. 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.

root9B Holdings Business Description

Address 206 East Virginia Avenue, Phoenix, AZ, USA, 85004
root9B Holdings Inc is a provider of cybersecurity and business advisory services in regulatory risk mitigation. It designs and provides cybersecurity operations and solutions, risk mitigation services, compilation with complex regulations, and leverageable and integrated technology. The company provides its services through Cyber Solutions and Business Advisory Solutions segments. Cyber Solutions segment provides cyber operations assessments, analysis, and testing, to cyber training, forensics, exploitation, and strategic defense planning. It earns all its revenue from both of its segments.