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Luckin CoffeeSTU:LC0A +2.33%77 Debt-to-EBITDA is 0.94 as of Jun. 2026, which is 18% below its 10-year median of 1.14. GuruFocus rates STU:LC0A with a GF Score™ of 77/100 and a GF Value™ of €43.60 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 301 Restaurants companies, Luckin Coffee ranks better than 74.09% 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 Luckin Coffee's Debt-to-EBITDA or its related term are showing as below:
STU:LC0A'
s Debt-to-EBITDA Range Over the Past 10 Years
Min: -0.53 Med: 1.14 Max: 2.43
Current: 1.36
During the past 9 years, the highest Debt-to-EBITDA Ratio of Luckin Coffee was 2.43. The lowest was -0.53. And the median was 1.14.
STU:LC0A's Debt-to-EBITDA is ranked better than 74.09% of 301
companies
in the Restaurants industry
Industry Median: 2.91
vs STU:LC0A: 1.36
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.
Luckin Coffee Debt-to-EBITDA Related Terms
Luckin Coffee Debt-to-EBITDA Historical Data
* Premium members only.
The historical data trend for Luckin Coffee'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.
STU:LC0A vs BROS, EAT, DPZ: Debt-to-EBITDA Comparison
For the Restaurants subindustry, Luckin Coffee'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.
Luckin Coffee Debt-to-EBITDA vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Luckin Coffee's Debt-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Luckin Coffee'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 (Jun. 2026) EBITDA data.
Luckin Coffee (STU:LC0A) has a Debt-to-EBITDA of 0.94 as of Jun. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Luckin Coffee. This is 18% below median its historical median of 1.14. According to the industry distribution chart, Luckin Coffee ranks #78 out of 301 companies in the Restaurants industry, placing it in the top 25.9%.
Is Luckin Coffee's Debt-to-EBITDA too high?
Luckin Coffee's current Debt-to-EBITDA of 0.94 is 18% below median its 10-year median of 1.14. The Restaurants industry median Debt-to-EBITDA is 2.91. Luckin Coffee's value of 0.94 is 67.7% below this industry median. Based on the distribution chart, Luckin Coffee ranks #78 out of 301 companies in the Restaurants industry, which is above the industry midpoint. Overall, Luckin Coffee has a GF Score™ of 77/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Luckin Coffee's Debt-to-EBITDA compare to BROS and EAT?
According to the Restaurants industry distribution chart, Luckin Coffee ranks #78 out of 301 companies for Debt-to-EBITDA. This puts Luckin Coffee in the upper half of its industry. The industry median Debt-to-EBITDA is 2.91. Luckin Coffee's value of 0.94 is 67.7% below this benchmark. While the company's 10-year median is 1.14 vs. the industry median of 2.91, Luckin Coffee 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 2.91, based on 301 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. Luckin Coffee's current Debt-to-EBITDA of 0.94 is 67.7% 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 Luckin Coffee. For the Restaurants industry, the median Debt-to-EBITDA is 2.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Luckin Coffee's current Debt-to-EBITDA is 0.94, which is 18% below median its own 10-year median of 1.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Luckin Coffee stock overvalued right now?
Based on GuruFocus' analysis, Luckin Coffee (STU:LC0A) is currently considered Significantly Undervalued. The stock's GF Value™ is €43.60, compared to a current price of €30.70 — trading 29.6% below its estimated fair value. The current Debt-to-EBITDA is 0.94, which is 18% below median its 10-year median of 1.14 and 67.7% below the Restaurants industry median of 2.91. Luckin Coffee's overall GF Score™ is 77/100 with 1 warning sign 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 Luckin Coffee (STU:LC0A), the current Debt-to-EBITDA is 0.94 as of Jun. 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 Luckin Coffee (STU:LC0A) Overvalued in 2026?
Based on GuruFocus' analysis, Luckin Coffee stock appears to be undervalued.
The current stock price of €30.70 is trading 29.6% below its estimated GF Value™ of €43.60.
GuruFocus considers Luckin Coffee to be Significantly Undervalued.
Key valuation signals for STU:LC0A:
Debt-to-EBITDA: 0.94 (18% below median its 10-year median of 1.14)
GF Value™: €43.60 vs. price of €30.70 (29.6% below fair value)
Industry Position: 67.7% below the Restaurants median (#78 of 301)
No single metric tells the full story. See the STU:LC0A stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Luckin Coffee Inc operates a coffee network in China, providing retail services for freshly brewed drinks and pre-made food and beverage items. Its technology-driven model is built on mobile apps and a store network, offering a cashier-less purchase experience with features such as store selection, advance ordering, multiple payment options, and real-time order tracking. The company mainly operates self-operated pick-up stores in high-demand locations, enabling rapid and cost-efficient expansion, and also uses partnership and franchise models. It offers multiple products, including coffee, tea drinks, snacks, and light meals, with recipes tailored to local preferences, supported by sourcing and proprietary technology for operations and supply chain management.
77GF Score
Get the complete analysis for STU:LC0A
Debt-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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