ScanSourceSCSC +0.43%73 Debt-to-EBITDA is 0.82 as of Mar. 2026, which is 41% below its 10-year median of 1.39. GuruFocus rates SCSC with a GF Score™ of 73/100 and a GF Value™ of $43.61 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 1,789 Hardware companies, ScanSource ranks better than 67.75% 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 ScanSource's Debt-to-EBITDA or its related term are showing as below:
SCSC'
s Debt-to-EBITDA Range Over the Past 10 Years
Min: -10.07 Med: 1.39 Max: 2.51
Current: 0.78
During the past 13 years, the highest Debt-to-EBITDA Ratio of ScanSource was 2.51. The lowest was -10.07. And the median was 1.39.
SCSC's Debt-to-EBITDA is ranked better than 67.75% of 1789
companies
in the Hardware industry
Industry Median: 1.71
vs SCSC: 0.78
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.
ScanSource Debt-to-EBITDA Related Terms
ScanSource Debt-to-EBITDA Historical Data
* Premium members only.
The historical data trend for ScanSource'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.
SCSC vs NLST, CLMB, EACO: Debt-to-EBITDA Comparison
For the Electronics & Computer Distribution subindustry, ScanSource'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.
ScanSource Debt-to-EBITDA vs Hardware Industry
For the Hardware industry and Technology sector, ScanSource's Debt-to-EBITDA distribution charts can be found below:
* The bar in red indicates where ScanSource'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.
ScanSource (SCSC) has a Debt-to-EBITDA of 0.82 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 ScanSource. This is 41% below median its historical median of 1.39. According to the industry distribution chart, ScanSource ranks #577 out of 1789 companies in the Hardware industry, placing it in the top 32.3%.
Is ScanSource's Debt-to-EBITDA too high?
ScanSource's current Debt-to-EBITDA of 0.82 is 41% below median its 10-year median of 1.39. The Hardware industry median Debt-to-EBITDA is 1.71. ScanSource's value of 0.82 is 52% below this industry median. Based on the distribution chart, ScanSource ranks #577 out of 1789 companies in the Hardware industry, which is above the industry midpoint. Overall, ScanSource has a GF Score™ of 73/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does ScanSource's Debt-to-EBITDA compare to NLST and CLMB?
According to the Hardware industry distribution chart, ScanSource ranks #577 out of 1789 companies for Debt-to-EBITDA. This puts ScanSource in the upper half of its industry. The industry median Debt-to-EBITDA is 1.71. ScanSource's value of 0.82 is 52% below this benchmark. While the company's 10-year median is 1.39 vs. the industry median of 1.71, ScanSource 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 Hardware company?
The median Debt-to-EBITDA among Hardware companies is 1.71, based on 1,789 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. ScanSource's current Debt-to-EBITDA of 0.82 is 52% 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 ScanSource. For the Hardware industry, the median Debt-to-EBITDA is 1.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ScanSource's current Debt-to-EBITDA is 0.82, which is 41% below median its own 10-year median of 1.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ScanSource stock overvalued right now?
Based on GuruFocus' analysis, ScanSource (SCSC) is currently considered Modestly Overvalued. The stock's GF Value™ is $43.61, compared to a current price of $52.33 — trading 20% above its estimated fair value. The current Debt-to-EBITDA is 0.82, which is 41% below median its 10-year median of 1.39 and 52% below the Hardware industry median of 1.71. ScanSource's overall GF Score™ is 73/100 with 6 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 ScanSource (SCSC), the current Debt-to-EBITDA is 0.82 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 ScanSource (SCSC) Overvalued in 2026?
Based on GuruFocus' analysis, ScanSource stock appears to be overvalued.
The current stock price of $52.33 is trading 20% above its estimated GF Value™ of $43.61.
GuruFocus considers ScanSource to be Modestly Overvalued.
Key valuation signals for SCSC:
Debt-to-EBITDA: 0.82 (41% below median its 10-year median of 1.39)
GF Value™: $43.61 vs. price of $52.33 (20% above fair value)
Industry Position: 52% below the Hardware median (#577 of 1789)
No single metric tells the full story. See the SCSC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
ScanSource Inc provides value-added services for technology manufacturers and sells to resellers in specialty technology markets. The firm's operations are organized in two segments: Specialty Technology Solutions and Intelisys & Advisory Segment. It generates maximum revenue from the Specialty Technology Solutions segment. The Specialty Technology Solutions segment includes the company's business in mobility and barcode, POS, payments, security and networking technologies. Geographically, it derives a majority of revenue from the United States and Canada, and also has its presence in Brazil, and other countries.
73GF Score
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