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HMS Holdings (HMS Holdings) Debt-to-EBITDA : 1.22 (As of Dec. 2020)


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What is HMS Holdings Debt-to-EBITDA?

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

HMS Holdings's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2020 was $6.2 Mil. HMS Holdings's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2020 was $252.0 Mil. HMS Holdings's annualized EBITDA for the quarter that ended in Dec. 2020 was $212.5 Mil. HMS Holdings's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2020 was 1.22.

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 HMS Holdings's Debt-to-EBITDA or its related term are showing as below:

HMSY's Debt-to-EBITDA is not ranked *
in the Healthcare Providers & Services industry.
Industry Median: 2.57
* Ranked among companies with meaningful Debt-to-EBITDA only.

HMS Holdings Debt-to-EBITDA Historical Data

The historical data trend for HMS Holdings'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.

* Premium members only.

HMS Holdings Debt-to-EBITDA Chart

HMS Holdings Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.92 2.38 1.97 1.65 1.82

HMS Holdings Quarterly Data
Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20
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 1.71 2.10 3.25 1.72 1.22

Competitive Comparison of HMS Holdings's Debt-to-EBITDA

For the Health Information Services subindustry, HMS Holdings'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.


HMS Holdings's Debt-to-EBITDA Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, HMS Holdings's Debt-to-EBITDA distribution charts can be found below:

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



HMS Holdings Debt-to-EBITDA Calculation

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

HMS Holdings's Debt-to-EBITDA for the fiscal year that ended in Dec. 2020 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(6.187 + 251.991) / 141.616
=1.82

HMS Holdings's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2020 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(6.187 + 251.991) / 212.488
=1.22

* 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 (Dec. 2020) EBITDA data.


HMS Holdings  (NAS:HMSY) 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.


HMS Holdings Debt-to-EBITDA Related Terms

Thank you for viewing the detailed overview of HMS Holdings's Debt-to-EBITDA provided by GuruFocus.com. Please click on the following links to see related term pages.


HMS Holdings (HMS Holdings) Business Description

Traded in Other Exchanges
N/A
Address
5615 High Point Drive, Irving, TX, USA, 75038
HMS Holdings Corp is a United States-based holding company that conducts businesses through its operating subsidiaries. The company offers services that help customers contain healthcare insurance benefit costs. Its primary offerings comprise coordination of benefits, payment integrity, and eligibility verification. The coordination of benefits service ensures the right party pays a health claim. The payment integrity service ensures the billing and/or payment is accurate and appropriate. The eligibility verification service ensures individuals meet qualifying criteria for healthcare programs. The company's customers include Medicaid agencies, government health agencies, health plans, government and private employers, and others. The company operates only within the United States.
Executives
Richard H Stowe director CAPITAL COUNSEL LLC 360 PARK AVENUE 11TH FLOOR NEW YORK NY 10022
Craig R Callen director 7902 WESTPARK DR, C/O SUNRISE ASSISTED LIVING, MCLEAN VA 22102
Tellez Cora M director TISCH FAMILY INTERESTS, 667 MADISON AVE 7TH FL, NEW YORK NY 10021-8087
Bart M Schwartz director 401 PARK AVENUE SOUTH NEW YORK NY 10016
William C Lucia director, officer: Chairman, President and CEO HEALTH MANAGEMENT SYSTEMS 401 PARK AVENUE S NEW YORK NY 10021
Katherine Baicker director LILLY CORPORATE CENTER, INDIANAPOLIS IN 46285
Robert Becker director C/O HMS HOLDINGS CORP. 5615 HIGH POINT DR. IRVING TX 75038
Miller William F Iii director 3618 HARVARD, DALLAS TX 75205
Ellen A Rudnick director 5807 SOUTH WOODLAWN AVENUE, MP POLSKY CENTER FOR ENTREPRENEURSHIP, CHICAGO IL 60637
Jeffrey A Rideout director 2142 DEER OAK WAY, DANVILLE CA 94506
Greg D Aunan officer: SVP, Chief Accounting Officer HMS HOLDINGS CORP., 5615 HIGH POINT DRIVE, IRVING TX 75038
Jacob Sims officer: SVP, Chief Technology Officer C/O HMS HOLDINGS CORP. 5615 HIGH POINT DR. IRVING TX 75038
David A Alexander officer: Chief HR & Compliance Officer C/O HMS HOLDINGS CORP. 5615 HIGH POINT DRIVE IRVING TX 75038
Jeffrey Scott Sherman officer: EVP, CFO, and Treasurer 103 POWELL COURT, SUITE 200, BRENTWOOD TN 37027
Teresa South officer: Chief Administrative Officer 401 PARK AVENUE SOUTH NEW YORK NY 10016

HMS Holdings (HMS Holdings) Headlines

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