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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 Robinhood Markets's Debt-to-EBITDA or its related term are showing as below:
XSWX:HOOD'
s Debt-to-EBITDA Range Over the Past 10 Years
Min: -7.63 Med: -2.03 Max: 83.53
Current: 6.02
During the past 7 years, the highest Debt-to-EBITDA Ratio of Robinhood Markets was 83.53. The lowest was -7.63. And the median was -2.03.
XSWX:HOOD's Debt-to-EBITDA is ranked worse than 76.54% of 422
companies
in the Capital Markets industry
Industry Median: 1.6
vs XSWX:HOOD: 6.02
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.
Robinhood Markets Debt-to-EBITDA Related Terms
Robinhood Markets Debt-to-EBITDA Historical Data
* Premium members only.
The historical data trend for Robinhood Markets'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.
XSWX:HOOD vs IBKR, LPLA, SCHW: Debt-to-EBITDA Comparison
For the Capital Markets subindustry, Robinhood Markets'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.
Robinhood Markets Debt-to-EBITDA vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, Robinhood Markets's Debt-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Robinhood Markets's Debt-to-EBITDA falls into.
* 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.
Robinhood Markets (XSWX:HOOD) has a Debt-to-EBITDA of 7.71 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 Robinhood Markets. According to the industry distribution chart, Robinhood Markets ranks #323 out of 422 companies in the Capital Markets industry, placing it in the top 76.5%.
Is Robinhood Markets' Debt-to-EBITDA too high?
Robinhood Markets' current Debt-to-EBITDA is 7.71. The Capital Markets industry median Debt-to-EBITDA is 1.60. Robinhood Markets' value of 7.71 is 381.9% above this industry median. Based on the distribution chart, Robinhood Markets ranks #323 out of 422 companies in the Capital Markets industry, which is in the bottom quartile relative to peers. Overall, Robinhood Markets has a GF Score™ of 53/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Robinhood Markets' Debt-to-EBITDA compare to IBKR and LPLA?
According to the Capital Markets industry distribution chart, Robinhood Markets ranks #323 out of 422 companies for Debt-to-EBITDA. This places Robinhood Markets in the lower half of its industry. The industry median Debt-to-EBITDA is 1.60. Robinhood Markets' value of 7.71 is 381.9% 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 Capital Markets company?
The median Debt-to-EBITDA among Capital Markets companies is 1.60, based on 422 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. Robinhood Markets's current Debt-to-EBITDA of 7.71 is 381.9% 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 Robinhood Markets. For the Capital Markets industry, the median Debt-to-EBITDA is 1.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Robinhood Markets's current Debt-to-EBITDA is 7.71. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Robinhood Markets stock overvalued right now?
Based on GuruFocus' analysis, Robinhood Markets (XSWX:HOOD) is currently considered Significantly Overvalued. The stock's GF Value™ is CHF49.42, compared to a current price of CHF89.37 — trading 80.8% above its estimated fair value. The current Debt-to-EBITDA is 7.71 and 381.9% above the Capital Markets industry median of 1.60. Robinhood Markets' overall GF Score™ is 53/100 with 5 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 Robinhood Markets (XSWX:HOOD), the current Debt-to-EBITDA is 7.71 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 Robinhood Markets (XSWX:HOOD) Overvalued in 2026?
Based on GuruFocus' analysis, Robinhood Markets stock appears to be overvalued.
The current stock price of CHF89.37 is trading 80.8% above its estimated GF Value™ of CHF49.42.
GuruFocus considers Robinhood Markets to be Significantly Overvalued.
Key valuation signals for XSWX:HOOD:
Debt-to-EBITDA: 7.71
GF Value™: CHF49.42 vs. price of CHF89.37 (80.8% above fair value)
Industry Position: 381.9% above the Capital Markets median (#323 of 422)
No single metric tells the full story. See the XSWX:HOOD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Robinhood is a diversified financial services provider best known for its retail brokerage platform, which historically caters to a young, risk-seeking clientele that trades heavily on margin and in higher-risk asset classes like options, futures, cryptocurrencies, and more recently, in prediction markets. As those customers' financial needs have begun to mature, Robinhood has rolled out a suite of more conventional products, from retirement accounts to high-yield cash sweep accounts to nascent advisory services (Robinhood Strategies). With $322 billion in customer assets and 27 million active accounts at year-end 2025, the firm has emerged as a significant player in the large, quickly growing US brokerage market.
53GF Score
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