WTTZF (Watts Co) Debt-to-EBITDA : 0.54 (As of Feb. 2026) — 50% Below Median

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WTTZF Watts Co Ltd WTTZF
68 GF Score
Price $12.90
GF Value $12.99
! 4 Warning Signs
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What is Watts Co Debt-to-EBITDA?

Watts Co WTTZF 68 Debt-to-EBITDA is 0.54 as of Feb. 2026, which is 50% below its 10-year median of 1.09. GuruFocus rates WTTZF with a GF Score™ of 68/100 and a GF Value™ of $12.99. The stock has 4 warning signs investors should review. Among 258 Retail - Defensive companies, Watts Co ranks better than 79.84% on this metric.

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

Watts Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Feb. 2026 was $13.6 Mil. Watts Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Feb. 2026 was $0.3 Mil. Watts Co's annualized EBITDA for the quarter that ended in Feb. 2026 was $25.7 Mil. Watts Co's annualized Debt-to-EBITDA for the quarter that ended in Feb. 2026 was 0.54.

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 Watts Co's Debt-to-EBITDA or its related term are showing as below:

WTTZF' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.57   Med: 1.09   Max: 2.63
Current: 0.64

During the past 13 years, the highest Debt-to-EBITDA Ratio of Watts Co was 2.63. The lowest was 0.57. And the median was 1.09.

WTTZF's Debt-to-EBITDA is ranked better than
79.84% of 258 companies
in the Retail - Defensive industry
Industry Median: 2.225 vs WTTZF: 0.64

Watts Co  (OTCPK:WTTZF) 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.


Watts Co Debt-to-EBITDA Related Terms


Watts Co Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Watts Co'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.

Watts Co Debt-to-EBITDA Chart

Watts Co Annual Data
Trend Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24 Aug25
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.57 1.79 2.63 1.67 1.43

Watts Co Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26 May26
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 -3.30 0.62 1.94 0.54 0.98

WTTZF vs KR: Debt-to-EBITDA Comparison

For the Grocery Stores subindustry, Watts Co'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.


Watts Co Debt-to-EBITDA vs Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Watts Co's Debt-to-EBITDA distribution charts can be found below:

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


WTTZF
68GF Score
Watts Co Ltd WTTZF
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Watts Co Debt-to-EBITDA Calculation

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

Watts Co's Debt-to-EBITDA for the fiscal year that ended in Aug. 2025 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(9.311 + 13.306) / 15.873
=1.42

Watts Co's annualized Debt-to-EBITDA for the quarter that ended in Feb. 2026 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(13.562 + 0.322) / 25.716
=0.54

* 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 (Feb. 2026) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of 0.54 mean?
Watts Co (WTTZF) has a Debt-to-EBITDA of 0.54 as of Feb. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Watts Co. This is 50% below median its historical median of 1.09. Over the past decade, Watts Co's Debt-to-EBITDA has ranged from 0.57 to 2.63. According to the industry distribution chart, Watts Co ranks #52 out of 258 companies in the Retail - Defensive industry, placing it in the top 20.2%.
Is Watts Co's Debt-to-EBITDA too high?
Watts Co's current Debt-to-EBITDA of 0.54 is 50% below median its 10-year median of 1.09. Over the past 10 years, this metric has ranged from a low of 0.57 to a high of 2.63. The Retail - Defensive industry median Debt-to-EBITDA is 2.23. Watts Co's value of 0.54 is 75.7% below this industry median. Based on the distribution chart, Watts Co ranks #52 out of 258 companies in the Retail - Defensive industry, which is in the top quartile — a strong position relative to peers. Overall, Watts Co has a GF Score™ of 68/100, reflecting its overall financial health beyond just this single metric.
How does Watts Co's Debt-to-EBITDA compare to KR?
According to the Retail - Defensive industry distribution chart, Watts Co ranks #52 out of 258 companies for Debt-to-EBITDA. This places Watts Co in the top 20% of its industry — outperforming the majority of peers. The industry median Debt-to-EBITDA is 2.23. Watts Co's value of 0.54 is 75.7% below this benchmark. Historically, Watts Co's own Debt-to-EBITDA has ranged from 0.57 to 2.63 over the past decade. While the company's 10-year median is 1.09 vs. the industry median of 2.23, Watts Co 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 Retail - Defensive company?
The median Debt-to-EBITDA among Retail - Defensive companies is 2.23, based on 258 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. Watts Co's current Debt-to-EBITDA of 0.54 is 75.7% 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 Watts Co. For the Retail - Defensive industry, the median Debt-to-EBITDA is 2.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Watts Co's current Debt-to-EBITDA is 0.54, which is 50% below median its own 10-year median of 1.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Watts Co stock overvalued right now?
Watts Co (WTTZF) has a current Debt-to-EBITDA of 0.54. The stock's GF Value™ is $12.99, compared to a current price of $12.90 — trading 0.7% below its estimated fair value. The current Debt-to-EBITDA is 0.54, which is 50% below median its 10-year median of 1.09 and 75.7% below the Retail - Defensive industry median of 2.23. Watts Co's overall GF Score™ is 68/100 with 4 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 Watts Co (WTTZF), the current Debt-to-EBITDA is 0.54 as of Feb. 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 Watts Co (WTTZF) Overvalued in 2026?

Based on GuruFocus' analysis, Watts Co stock appears to be undervalued. The current stock price of $12.90 is trading 0.7% below its estimated GF Value™ of $12.99.

Key valuation signals for WTTZF:

  • Debt-to-EBITDA: 0.54 (50% below median its 10-year median of 1.09)
  • GF Value™: $12.99 vs. price of $12.90 (0.7% below fair value)
  • GF Score™: 68/100 with 4 warning signs
  • Industry Position: 75.7% below the Retail - Defensive median (#52 of 258)

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


Watts Co Business Description

Other Exchanges 2735:Japan
Address Shiromi 1-4-70, Chuo-ku, Sumitomo Life Insurance OBP Plaza Building, 5th Floor, Osaka, JPN, 540-0001
Watts Co Ltd is engaged in the wholesale of daily necessities, grocery and food products, and other goods. The company's product profile includes Sanitary goods, Cleaning sheet, Water supply equipment, Lunch supplies, and other related products.
68GF Score

Get the complete analysis for WTTZF

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

$12.90
Price
$12.99
GF Value