Switch to:

Advance Auto Parts Debt-to-EBITDA

: 2.85 As of Sep. 2020
View and export this data going back to 2001. Start your Free Trial

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

Advance Auto Parts's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2020 was $0 Mil. Advance Auto Parts's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2020 was $3,047 Mil. Advance Auto Parts's annualized EBITDA for the quarter that ended in Sep. 2020 was $1,069 Mil. Advance Auto Parts's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2020 was 2.85.

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.

NYSE:AAP' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.4   Med: 1.16   Max: 3.29
Current: 3.29

0.4
3.29

During the past 13 years, the highest Debt-to-EBITDA Ratio of Advance Auto Parts was 3.29. The lowest was 0.40. And the median was 1.16.

NYSE:AAP's Debt-to-EBITDA is ranked higher than
51% of the 702 Companies
in the Retail - Cyclical industry.

( Industry Median: 3.32 vs. NYSE:AAP: 3.29 )

Advance Auto Parts Debt-to-EBITDA Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

* Premium members only.

Advance Auto Parts Annual Data
Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19
Debt-to-EBITDA Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.11 0.99 1.26 1.23 3.02

Advance Auto Parts Quarterly Data
Dec14 Apr15 Sep15 Dec15 Apr16 Sep16 Dec16 Apr17 Sep17 Dec17 Apr18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20
Debt-to-EBITDA 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 Premium Member Only Premium Member Only Premium Member Only 3.04 3.70 6.19 2.54 2.85

Competitive Comparison
* 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.


Advance Auto Parts Debt-to-EBITDA Distribution

* The bar in red indicates where Advance Auto Parts's Debt-to-EBITDA falls into.



Advance Auto Parts Debt-to-EBITDA Calculation

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

Advance Auto Parts's Debt-to-EBITDA for the fiscal year that ended in Dec. 2019 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(0 + 2764.479) / 916.015
=3.02

Advance Auto Parts's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2020 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(0 + 3046.77) / 1068.612
=2.85

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's 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 (Sep. 2020) EBITDA data.


Advance Auto Parts  (NYSE:AAP) 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.


Advance Auto Parts Debt-to-EBITDA Related Terms


Advance Auto Parts Debt-to-EBITDA Headlines

No Headline

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)