TSYI (Terra Systems) Debt-to-EBITDA : -0.40 (As of Mar. 2008)

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What is Terra Systems Debt-to-EBITDA?

Terra Systems TSYI -99.00% Debt-to-EBITDA is -0.40 as of Mar. 2008.

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

Terra Systems's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2008 was $0.86 Mil. Terra Systems's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2008 was $0.00 Mil. Terra Systems's annualized EBITDA for the quarter that ended in Mar. 2008 was $-2.13 Mil. Terra Systems's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2008 was -0.40.

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 Terra Systems's Debt-to-EBITDA or its related term are showing as below:

TSYI's Debt-to-EBITDA is not ranked *
in the Industrial Products industry.
Industry Median: 1.7
* Ranked among companies with meaningful Debt-to-EBITDA only.

Terra Systems  (OTCPK:TSYI) 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.


Terra Systems Debt-to-EBITDA Related Terms


Terra Systems Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Terra Systems'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.

Terra Systems Debt-to-EBITDA Chart

Terra Systems Annual Data
Trend Dec99 Dec00 Dec01 Dec02 Dec03 Dec04 Dec05 Dec06 Dec07
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only -0.69 -1.24 -0.14 -0.75 -0.18

Terra Systems Quarterly Data
Jun03 Sep03 Dec03 Mar04 Jun04 Sep04 Dec04 Mar05 Jun05 Sep05 Dec05 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08
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 -0.21 -0.15 -0.37 -0.13 -0.40

TSYI vs CHGI: Debt-to-EBITDA Comparison

For the Specialty Industrial Machinery subindustry, Terra Systems'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.


Terra Systems Debt-to-EBITDA vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Terra Systems's Debt-to-EBITDA distribution charts can be found below:

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



Terra Systems Debt-to-EBITDA Calculation

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

Terra Systems's Debt-to-EBITDA for the fiscal year that ended in Dec. 2007 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(0.848 + 0) / -4.696
=-0.18

Terra Systems's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2008 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(0.858 + 0) / -2.132
=-0.40

* 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. 2008) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of -0.40 mean?
Terra Systems (TSYI) has a Debt-to-EBITDA of -0.40 as of Mar. 2008. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Terra Systems.
Is Terra Systems' Debt-to-EBITDA too high?
Terra Systems' current Debt-to-EBITDA is -0.40.
How does Terra Systems' Debt-to-EBITDA compare to CHGI?
Terra Systems' Debt-to-EBITDA of -0.40 can be compared against companies in the Industrial Products industry. The industry median Debt-to-EBITDA is 1.70. 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 an Industrial Products company?
The median Debt-to-EBITDA among Industrial Products companies is 1.70, based on 2,332 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 Terra Systems. For the Industrial Products industry, the median Debt-to-EBITDA is 1.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Terra Systems's current Debt-to-EBITDA is -0.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Terra Systems stock overvalued right now?
Terra Systems (TSYI) has a current Debt-to-EBITDA of -0.40. The current Debt-to-EBITDA is -0.40. 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 Terra Systems (TSYI), the current Debt-to-EBITDA is -0.40 as of Mar. 2008. 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.

Terra Systems Business Description

Address 7001 S 900 E, Suite 260, Midvale, UT, USA, 84070
Terra Systems Inc is a development stage company whose main business purpose is the development and commercialization of a pneumatic conveyance system to handle materials in a bulk state.