Highwealth Construction (TPE:2542) Debt-to-EBITDA : 8.42 (As of Jun. 2026) — 48% Below 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.

TPE:2542 Highwealth Construction Corp TPE:2542
79 GF Score
Price NT$47.75
GF Value NT$78.49
Valuation Possible Value Trap
! 8 Warning Signs
View Full Analysis

What is Highwealth Construction Debt-to-EBITDA?

Highwealth Construction TPE:2542 -0.52% 79 Debt-to-EBITDA is 8.42 as of Jun. 2026, which is 48% below its 10-year median of 16.31. GuruFocus rates TPE:2542 with a GF Score™ of 79/100 and a GF Value™ of NT$78.49 (Possible Value Trap). The stock has 8 warning signs investors should review. Among 1,275 Real Estate companies, Highwealth Construction ranks worse than 73.25% on this metric.

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

Highwealth Construction's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was NT$131,884 Mil. Highwealth Construction's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was NT$34,283 Mil. Highwealth Construction's annualized EBITDA for the quarter that ended in Jun. 2026 was NT$19,730 Mil. Highwealth Construction's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2026 was 8.42.

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 Highwealth Construction's Debt-to-EBITDA or its related term are showing as below:

TPE:2542' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 6.56   Med: 16.31   Max: 27.67
Current: 10.32

During the past 13 years, the highest Debt-to-EBITDA Ratio of Highwealth Construction was 27.67. The lowest was 6.56. And the median was 16.31.

TPE:2542's Debt-to-EBITDA is ranked worse than
73.25% of 1275 companies
in the Real Estate industry
Industry Median: 5.49 vs TPE:2542: 10.32

Highwealth Construction  (TPE:2542) 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.


Highwealth Construction Debt-to-EBITDA Related Terms


Highwealth Construction Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Highwealth Construction'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.

Highwealth Construction Debt-to-EBITDA Chart

Highwealth Construction 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 10.77 24.55 11.14 13.51 22.48

Highwealth Construction 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 63.27 21.74 8.53 9.77 8.42

Highwealth Construction Debt-to-EBITDA Competitor Comparison

For the Real Estate - Development subindustry, Highwealth Construction'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.


Highwealth Construction Debt-to-EBITDA vs Real Estate Industry

For the Real Estate industry and Real Estate sector, Highwealth Construction's Debt-to-EBITDA distribution charts can be found below:

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


TPE:2542
79GF Score
Highwealth Construction Corp TPE:2542
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Highwealth Construction Debt-to-EBITDA Calculation

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

Highwealth Construction'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
=(147283.189 + 25438.275) / 7683.552
=22.48

Highwealth Construction's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2026 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(131883.976 + 34282.695) / 19729.904
=8.42

* 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.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of 8.42 mean?
Highwealth Construction (TPE:2542) has a Debt-to-EBITDA of 8.42 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 Highwealth Construction. This is 48% below median its historical median of 16.31. Over the past decade, Highwealth Construction's Debt-to-EBITDA has ranged from 6.56 to 27.67. According to the industry distribution chart, Highwealth Construction ranks #934 out of 1275 companies in the Real Estate industry, placing it in the top 73.3%.
Is Highwealth Construction's Debt-to-EBITDA too high?
Highwealth Construction's current Debt-to-EBITDA of 8.42 is 48% below median its 10-year median of 16.31. Over the past 10 years, this metric has ranged from a low of 6.56 to a high of 27.67. The Real Estate industry median Debt-to-EBITDA is 5.49. Highwealth Construction's value of 8.42 is 53.4% above this industry median. Based on the distribution chart, Highwealth Construction ranks #934 out of 1275 companies in the Real Estate industry, which is below the industry midpoint. Overall, Highwealth Construction has a GF Score™ of 79/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Highwealth Construction's Debt-to-EBITDA compare to competitors?
According to the Real Estate industry distribution chart, Highwealth Construction ranks #934 out of 1275 companies for Debt-to-EBITDA. This places Highwealth Construction in the lower half of its industry. The industry median Debt-to-EBITDA is 5.49. Highwealth Construction's value of 8.42 is 53.4% above this benchmark. Historically, Highwealth Construction's own Debt-to-EBITDA has ranged from 6.56 to 27.67 over the past decade. While the company's 10-year median is 16.31 vs. the industry median of 5.49, Highwealth Construction 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 Real Estate company?
The median Debt-to-EBITDA among Real Estate companies is 5.49, based on 1,275 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. Highwealth Construction's current Debt-to-EBITDA of 8.42 is 53.4% 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 Highwealth Construction. For the Real Estate industry, the median Debt-to-EBITDA is 5.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Highwealth Construction's current Debt-to-EBITDA is 8.42, which is 48% below median its own 10-year median of 16.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Highwealth Construction stock overvalued right now?
Based on GuruFocus' analysis, Highwealth Construction (TPE:2542) is currently considered Possible Value Trap. The stock's GF Value™ is NT$78.49, compared to a current price of NT$47.75 — trading 39.2% below its estimated fair value. The current Debt-to-EBITDA is 8.42, which is 48% below median its 10-year median of 16.31 and 53.4% above the Real Estate industry median of 5.49. Highwealth Construction's overall GF Score™ is 79/100 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 Highwealth Construction (TPE:2542), the current Debt-to-EBITDA is 8.42 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 Highwealth Construction (TPE:2542) Overvalued in 2026?

Based on GuruFocus' analysis, Highwealth Construction stock appears to be undervalued. The current stock price of NT$47.75 is trading 39.2% below its estimated GF Value™ of NT$78.49. GuruFocus considers Highwealth Construction to be Possible Value Trap.

Key valuation signals for TPE:2542:

  • Debt-to-EBITDA: 8.42 (48% below median its 10-year median of 16.31)
  • GF Value™: NT$78.49 vs. price of NT$47.75 (39.2% below fair value)
  • GF Score™: 79/100 with 8 warning signs
  • Industry Position: 53.4% above the Real Estate median (#934 of 1275)

No single metric tells the full story. See the TPE:2542 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Highwealth Construction Business Description

Address No.267, Lequn 2nd Road, 10th Floor, Zhongshan District, Taipei, TWN, 10491
Highwealth Construction Corp is engaged in the business of construction sales, and leasing of residential and commercial buildings. Geographically the activities are carried out in Taiwan. The firm has three segments: Developing; Constructing, Hotel and other divisions. The developing segment that derives the majority of revenue is responsible for developing new construction or rental opportunities. Constructing segment is responsible for constructing buildings. Department stores and hotel segment operates hotels, catering services, and other business operations. The Groups revenues are all generated from domestic business.
79GF Score

Get the complete analysis for TPE:2542

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

NT$47.75
Price
NT$78.49
GF Value