WDKA (Panache Beverage) Debt-to-EBITDA : 30.86 (As of Jun. 2014)

What is Panache Beverage Debt-to-EBITDA?

Panache Beverage WDKA Debt-to-EBITDA is 30.86 as of Jun. 2014.

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

Panache Beverage's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2014 was $0.03 Mil. Panache Beverage's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2014 was $10.96 Mil. Panache Beverage's annualized EBITDA for the quarter that ended in Jun. 2014 was $0.36 Mil. Panache Beverage's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2014 was 30.86.

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 Panache Beverage's Debt-to-EBITDA or its related term are showing as below:

WDKA's Debt-to-EBITDA is not ranked ^*
in the Beverages - Alcoholic industry.
Industry Median: 2.29
* Ranked among companies with meaningful Debt-to-EBITDA only.

Panache Beverage (OTCPK:WDKA) 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.

Panache Beverage Debt-to-EBITDA Related Terms

Panache Beverage Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Panache Beverage'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.

Panache Beverage Debt-to-EBITDA Chart

Panache Beverage Annual Data

Trend

Dec07

Dec08

Dec09

Dec10

Dec11

Dec12

Dec13

Debt-to-EBITDA

Get a 7-Day Free Trial

-0.35

-0.11

-0.15

-0.64

-2.45

Panache Beverage Quarterly Data
	Sep09	Dec09	Mar10	Jun10	Sep10	Dec10	Mar11	Jun11	Sep11	Dec11	Mar12	Jun12	Sep12	Dec12	Mar13	Jun13	Sep13	Dec13	Mar14	Jun14
Debt-to-EBITDA	Get a 7-Day Free Trial															-2.30	-1.93	-1.88	-2.06	30.86

WDKA vs CMHZ, BORNY, THST: Debt-to-EBITDA Comparison

For the Beverages - Wineries & Distilleries subindustry, Panache Beverage'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.

Panache Beverage Debt-to-EBITDA vs Beverages - Alcoholic Industry

For the Beverages - Alcoholic industry and Consumer Defensive sector, Panache Beverage's Debt-to-EBITDA distribution charts can be found below:

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

Save Embed

Panache Beverage Debt-to-EBITDA Calculation

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

Panache Beverage's Debt-to-EBITDA for the fiscal year that ended in Dec. 2013 is calculated as

Debt-to-EBITDA	=	Total Debt			/	EBITDA
	=	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)	/	EBITDA
	=	(0.033	+	11.211)	/	-4.592
	=	-2.45

Panache Beverage's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2014 is calculated as

Debt-to-EBITDA	=	Total Debt			/	EBITDA
	=	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)	/	EBITDA
	=	(0.028	+	10.958)	/	0.356
	=	30.86

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. 2014) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →

What does a Debt-to-EBITDA of 30.86 mean?

Panache Beverage (WDKA) has a Debt-to-EBITDA of 30.86 as of Jun. 2014. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Panache Beverage.

Is Panache Beverage's Debt-to-EBITDA too high?

Panache Beverage's current Debt-to-EBITDA is 30.86. The Beverages - Alcoholic industry median Debt-to-EBITDA is 2.29. Panache Beverage's value of 30.86 is 1247.6% above this industry median.

How does Panache Beverage's Debt-to-EBITDA compare to CMHZ and BORNY?

Panache Beverage's Debt-to-EBITDA of 30.86 can be compared against companies in the Beverages - Alcoholic industry. The industry median Debt-to-EBITDA is 2.29. Panache Beverage's value of 30.86 is 1247.6% above this benchmark. 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 Beverages - Alcoholic company?

The median Debt-to-EBITDA among Beverages - Alcoholic companies is 2.29, based on 159 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. Panache Beverage's current Debt-to-EBITDA of 30.86 is 1247.6% 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 Panache Beverage. For the Beverages - Alcoholic industry, the median Debt-to-EBITDA is 2.29 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Panache Beverage's current Debt-to-EBITDA is 30.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Panache Beverage stock overvalued right now?

Panache Beverage (WDKA) has a current Debt-to-EBITDA of 30.86. The current Debt-to-EBITDA is 30.86 and 1247.6% above the Beverages - Alcoholic industry median of 2.29. 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 Panache Beverage (WDKA), the current Debt-to-EBITDA is 30.86 as of Jun. 2014. 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.

Panache Beverage Business Description

Industry Consumer Defensive Beverages - Alcoholic

Comparable Companies BOM:531635 WAR:TLV CMHZ BOM:507498 NSE:RKDL BORNY XSAT:UMIDA B ASX:DW8 XCNQ:SBD NSE:AURDIS SGX:BKV BOM:542628 THST ICNB XKLS:5188 BOM:530305 OSTO:MACK B HKSE:08301 XMAD:BIL BOM:507155

Address 150 Fifth Avenue, 3rd Floor, New York, NY, USA, 10011

Website http://www.panachespirits.com

Panache Beverage Inc operates in the beverages industry in the United States. The company is engaged in the manufacturing of vodka.