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Ocean Rig UDW (Ocean Rig UDW) Debt-to-EBITDA : -4.19 (As of Sep. 2018)


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What is Ocean Rig UDW Debt-to-EBITDA?

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

Ocean Rig UDW's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2018 was $0.0 Mil. Ocean Rig UDW's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2018 was $350.0 Mil. Ocean Rig UDW's annualized EBITDA for the quarter that ended in Sep. 2018 was $-83.5 Mil. Ocean Rig UDW's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2018 was -4.19.

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 Ocean Rig UDW's Debt-to-EBITDA or its related term are showing as below:

ORIG's Debt-to-EBITDA is not ranked *
in the Oil & Gas industry.
Industry Median: 1.74
* Ranked among companies with meaningful Debt-to-EBITDA only.

Ocean Rig UDW Debt-to-EBITDA Historical Data

The historical data trend for Ocean Rig UDW'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.

Ocean Rig UDW Debt-to-EBITDA Chart

Ocean Rig UDW Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Debt-to-EBITDA
Get a 7-Day Free Trial 8.53 4.94 5.46 -1.50 1.45

Ocean Rig UDW Quarterly Data
Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18
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 2.02 1.26 1.33 -13.72 -4.19

Competitive Comparison of Ocean Rig UDW's Debt-to-EBITDA

For the Oil & Gas Drilling subindustry, Ocean Rig UDW'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.


Ocean Rig UDW's Debt-to-EBITDA Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Ocean Rig UDW's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Ocean Rig UDW's Debt-to-EBITDA falls into.



Ocean Rig UDW Debt-to-EBITDA Calculation

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

Ocean Rig UDW's Debt-to-EBITDA for the fiscal year that ended in Dec. 2017 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(81.632 + 450) / 365.85
=1.45

Ocean Rig UDW's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2018 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(0 + 350) / -83.452
=-4.19

* 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 (Sep. 2018) EBITDA data.


Ocean Rig UDW  (NAS:ORIG) 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.


Ocean Rig UDW Debt-to-EBITDA Related Terms

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


Ocean Rig UDW (Ocean Rig UDW) Business Description

Traded in Other Exchanges
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Address
Ocean Rig UDW Inc is an international offshore drilling contractor. It provides oilfield services for offshore oil and gas exploration, development and production drilling and specializing in the ultra-deepwater and harsh-environment segment of the offshore drilling industry. The company employs drilling units primarily on a day rate basis for periods of between two months and six years to drill wells for its customers, typically major oil companies, integrated oil and gas companies, state-owned national oil companies and independent oil and gas companies.

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