Packaging of America (STU:PKA) Debt-to-EBITDA : 4.33 (As of Mar. 2026) — 121% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
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.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
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.

STU:PKA Packaging Corp of America STU:PKA
88 GF Score
Price €222.00
GF Value €194.91
Valuation Modestly Overvalued
! 8 Warning Signs
View Full Analysis

What is Packaging of America Debt-to-EBITDA?

Packaging of America STU:PKA +8.61% 88 Debt-to-EBITDA is 4.33 as of Mar. 2026, which is 121% above its 10-year median of 1.96. GuruFocus rates STU:PKA with a GF Score™ of 88/100 and a GF Value™ of €194.91 (Modestly Overvalued). The stock has 8 warning signs investors should review. Among 333 Packaging & Containers companies, Packaging of America ranks worse than 58.26% on this metric.

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

Packaging of America's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was €90 Mil. Packaging of America's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was €3,687 Mil. Packaging of America's annualized EBITDA for the quarter that ended in Mar. 2026 was €873 Mil. Packaging of America's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 was 4.33.

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 Packaging of America's Debt-to-EBITDA or its related term are showing as below:

STU:PKA' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 1.48   Med: 1.96   Max: 3.09
Current: 3.09

During the past 13 years, the highest Debt-to-EBITDA Ratio of Packaging of America was 3.09. The lowest was 1.48. And the median was 1.96.

STU:PKA's Debt-to-EBITDA is ranked worse than
58.26% of 333 companies
in the Packaging & Containers industry
Industry Median: 2.58 vs STU:PKA: 3.09

Packaging of America  (STU:PKA) 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.


Packaging of America Debt-to-EBITDA Related Terms


Packaging of America Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Packaging of America'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.

Packaging of America Debt-to-EBITDA Chart

Packaging of America Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.63 1.48 2.00 1.70 2.48

Packaging of America Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 1.48 2.28 2.80 4.33 0.00

STU:PKA vs IP, AMCR, SW: Debt-to-EBITDA Comparison

For the Packaging & Containers subindustry, Packaging of America'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.


Packaging of America Debt-to-EBITDA vs Packaging & Containers Industry

For the Packaging & Containers industry and Consumer Cyclical sector, Packaging of America's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Packaging of America's Debt-to-EBITDA falls into.


STU:PKA
88GF Score
Packaging Corp of America STU:PKA
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Packaging of America Debt-to-EBITDA Calculation

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

Packaging of America's Debt-to-EBITDA for the fiscal year that ended in Dec. 2025 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(87.193 + 3640.431) / 1502.784
=2.48

Packaging of America'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
=(90.306 + 3687.062) / 873.304
=4.33

* 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 4.33 mean?
Packaging of America (STU:PKA) has a Debt-to-EBITDA of 4.33 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 Packaging of America. This is 121% above median its historical median of 1.96. Over the past decade, Packaging of America's Debt-to-EBITDA has ranged from 1.48 to 3.09. According to the industry distribution chart, Packaging of America ranks #194 out of 333 companies in the Packaging & Containers industry, placing it in the top 58.3%.
Is Packaging of America's Debt-to-EBITDA too high?
Packaging of America's current Debt-to-EBITDA of 4.33 is 121% above median its 10-year median of 1.96. Over the past 10 years, this metric has ranged from a low of 1.48 to a high of 3.09. The Packaging & Containers industry median Debt-to-EBITDA is 2.58. Packaging of America's value of 4.33 is 67.8% above this industry median. Based on the distribution chart, Packaging of America ranks #194 out of 333 companies in the Packaging & Containers industry, which is below the industry midpoint. Overall, Packaging of America has a GF Score™ of 88/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Packaging of America's Debt-to-EBITDA compare to IP and AMCR?
According to the Packaging & Containers industry distribution chart, Packaging of America ranks #194 out of 333 companies for Debt-to-EBITDA. This places Packaging of America in the lower half of its industry. The industry median Debt-to-EBITDA is 2.58. Packaging of America's value of 4.33 is 67.8% above this benchmark. Historically, Packaging of America's own Debt-to-EBITDA has ranged from 1.48 to 3.09 over the past decade. While the company's 10-year median is 1.96 vs. the industry median of 2.58, Packaging of America has consistently been above 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 Packaging & Containers company?
The median Debt-to-EBITDA among Packaging & Containers companies is 2.58, based on 333 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. Packaging of America's current Debt-to-EBITDA of 4.33 is 67.8% above 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 Packaging of America. For the Packaging & Containers industry, the median Debt-to-EBITDA is 2.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Packaging of America's current Debt-to-EBITDA is 4.33, which is 121% above median its own 10-year median of 1.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Packaging of America stock overvalued right now?
Based on GuruFocus' analysis, Packaging of America (STU:PKA) is currently considered Modestly Overvalued. The stock's GF Value™ is €194.91, compared to a current price of €222.00 — trading 13.9% above its estimated fair value. The current Debt-to-EBITDA is 4.33, which is 121% above median its 10-year median of 1.96 and 67.8% above the Packaging & Containers industry median of 2.58. Packaging of America's overall GF Score™ is 88/100 with 8 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 Packaging of America (STU:PKA), the current Debt-to-EBITDA is 4.33 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 Packaging of America (STU:PKA) Overvalued in 2026?

Based on GuruFocus' analysis, Packaging of America stock appears to be overvalued. The current stock price of €222.00 is trading 13.9% above its estimated GF Value™ of €194.91. GuruFocus considers Packaging of America to be Modestly Overvalued.

Key valuation signals for STU:PKA:

  • Debt-to-EBITDA: 4.33 (121% above median its 10-year median of 1.96)
  • GF Value™: €194.91 vs. price of €222.00 (13.9% above fair value)
  • GF Score™: 88/100 with 8 warning signs
  • Industry Position: 67.8% above the Packaging & Containers median (#194 of 333)

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


Packaging of America Business Description

Address 1 North Field Court, Lake Forest, IL, USA, 60045
Packaging Corp. of America is the third-largest containerboard and corrugated packaging manufacturer in the United States. It produces over 5 million tons of containerboard annually. The company's share of the domestic containerboard market is roughly 10%. PCA differentiates itself from larger competitors by focusing on smaller customers and operating with a high degree of flexibility.
88GF Score

Get the complete analysis for STU:PKA

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

€222.00
Price
€194.91
GF Value