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Rockwell Collins (Rockwell Collins) Debt-to-EBITDA : 3.97 (As of Sep. 2018)


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What is Rockwell Collins Debt-to-EBITDA?

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

Rockwell Collins's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2018 was $2,248 Mil. Rockwell Collins's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2018 was $5,681 Mil. Rockwell Collins's annualized EBITDA for the quarter that ended in Sep. 2018 was $1,996 Mil. Rockwell Collins's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2018 was 3.97.

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 Rockwell Collins's Debt-to-EBITDA or its related term are showing as below:

COL's Debt-to-EBITDA is not ranked *
in the Aerospace & Defense industry.
Industry Median: 2.34
* Ranked among companies with meaningful Debt-to-EBITDA only.

Rockwell Collins Debt-to-EBITDA Historical Data

The historical data trend for Rockwell Collins'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.

Rockwell Collins Debt-to-EBITDA Chart

Rockwell Collins Annual Data
Trend Sep09 Sep10 Sep11 Sep12 Sep13 Sep14 Sep15 Sep16 Sep17 Sep18
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.86 1.67 1.69 4.73 4.04

Rockwell Collins 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 3.70 3.95 3.56 3.73 3.97

Competitive Comparison of Rockwell Collins's Debt-to-EBITDA

For the Aerospace & Defense subindustry, Rockwell Collins'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.


Rockwell Collins's Debt-to-EBITDA Distribution in the Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Rockwell Collins's Debt-to-EBITDA distribution charts can be found below:

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



Rockwell Collins Debt-to-EBITDA Calculation

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

Rockwell Collins's Debt-to-EBITDA for the fiscal year 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
=(2248 + 5681) / 1964
=4.04

Rockwell Collins'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
=(2248 + 5681) / 1996
=3.97

* 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.


Rockwell Collins  (NYSE:COL) 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.


Rockwell Collins Debt-to-EBITDA Related Terms

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


Rockwell Collins (Rockwell Collins) Business Description

Traded in Other Exchanges
N/A
Address
Rockwell Collins Inc develops communications and aviation electronics for commercial and military customers worldwide. It employs over 20,000 people. Competencies include communications, navigation, automated flight control, displays, simulation and training, integrated electronics, and information systems. The firm sells to governments, airlines, and aircraft manufacturers, while providing aftermarket services for many of its products. The company recently closed its acquisition of B/E Aerospace, an aircraft seat and cabin manufacturer.
Executives
John A Edwardson director P O BOX 66100-WHQLD, CHICAGO IL 60666
Robert Kelly Ortberg director, officer: Chairman, Pres & CEO 870 WINTER STREET, WALTHAM MA 02451
Patrick E Allen officer: Sr. VP and CFO 400 COLLINS ROAD NE, CEDAR RAPIDS IA 52498
David Lilley director
Ralph E Eberhart director 909 N. WASHINGTON STREET, ALEXANDRIA VA 22314
Richard Hamermesh director C/O BE AEROSPACE, INC., 1400 CORPORATE CENTER WAY, WELLINGTON FL 33414
Jeffrey L Turner director SPIRIT AEROSYSTEMS HOLDINGS, INC., 3801 SOUTH OLIVER, WICHITA KS 67210
Cheryl L Shavers director 400 COLLINS ROAD NE, M/S 124-323, CEDAR RAPIDS IA 52498
Andrew J Policano director
Robert J Perna officer: Sr. VP, Gnrl Counsel & Secy 1151 MAPLEWOOD DRIVE, ITASCA IL 60143
John T Whates director 1400 CORPORATE CENTER WAY, WELLINGTON FL 33414
Besong John Paul E officer: Sr. VP, eBusiness 400 COLLINS ROAD NE M/S 124-003, CEDAR RAPIDS IA 52498001
Clayton M Jones director 400 COLLINS ROAD NE, CEDAR RAPIDS IA 52498
Donald R Beall director 5 SAN JOAQUIN PLAZA, SUITE 320, NEWPORT BEACH CA 92660
Toot Joseph F Jr director 400 COLLINS ROAD NE, M/S 124-323, CEDAR RAPIDS IA 52498

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