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Sigma-Aldrich (FRA:SIQ) Debt-to-EBITDA : 0.39 (As of Sep. 2015)


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What is Sigma-Aldrich Debt-to-EBITDA?

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

Sigma-Aldrich's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2015 was €0 Mil. Sigma-Aldrich's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2015 was €267 Mil. Sigma-Aldrich's annualized EBITDA for the quarter that ended in Sep. 2015 was €695 Mil. Sigma-Aldrich's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2015 was 0.38.

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 Sigma-Aldrich's Debt-to-EBITDA or its related term are showing as below:

FRA:SIQ' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0   Med: 0   Max: 0.37
Current: 0.37

During the past 13 years, the highest Debt-to-EBITDA Ratio of Sigma-Aldrich was 0.37. The lowest was 0.00. And the median was 0.00.

FRA:SIQ's Debt-to-EBITDA is not ranked
in the Chemicals industry.
Industry Median: 2.265 vs FRA:SIQ: 0.37

Sigma-Aldrich Debt-to-EBITDA Historical Data

The historical data trend for Sigma-Aldrich'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.

Sigma-Aldrich Debt-to-EBITDA Chart

Sigma-Aldrich Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.84 0.69 0.86 0.46 0.55

Sigma-Aldrich Quarterly Data
Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15
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 0.40 0.55 0.36 0.37 0.39

Competitive Comparison of Sigma-Aldrich's Debt-to-EBITDA

For the Specialty Chemicals subindustry, Sigma-Aldrich'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.


Sigma-Aldrich's Debt-to-EBITDA Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Sigma-Aldrich's Debt-to-EBITDA distribution charts can be found below:

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



Sigma-Aldrich Debt-to-EBITDA Calculation

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

Sigma-Aldrich's Debt-to-EBITDA for the fiscal year that ended in Dec. 2014 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(117.595 + 243.3) / 659.343
=0.55

Sigma-Aldrich's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2015 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(0 + 267.3) / 694.98
=0.38

* 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. 2015) EBITDA data.


Sigma-Aldrich  (FRA:SIQ) 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.


Sigma-Aldrich Debt-to-EBITDA Related Terms

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


Sigma-Aldrich (FRA:SIQ) Business Description

Traded in Other Exchanges
N/A
Address
Sigma-Aldrich Corp was incorporated under the laws of the State of Delaware in May 1975. The Company is a life science and a technology company that helps in enhancing human health and safety. The Company manufactures and distributes chemicals, biochemicals and other essential products and equipment products to its customers in research and applied labs as well as in industrial and commercial markets. The Company operates in three units including Research, Applied and SAFC Commercial. The Research unit products and services includes chemicals, reagents and kits, enabling the scientists to discover and develop new drugs and materials; Applied unit products and services includes high quality components and kits, chemical reagents, critical raw materials and certified reference standards, providing customized solutions to and constitute critical components and materials for diagnostic companies, testing laboratories and industrial companies; SAFC Commercial unit's products and services are used by its customers to develop and manufacture pharma, biopharma and electronics products. Its customers include pharmaceutical companies, universities, commercial laboratories, industrial companies, biotechnology companies, non-profit organizations, governmental institutions, diagnostic, chemical and electronics companies and hospitals. The Company's trademarks are the brand names; Sigma-Aldrich, Sigma, Aldrich, Fluka, Riedel-de Haën, Supelco, SAFC, SAFC Biosciences, SAFC Hitech, Genosys, Proligo, Pharmorphix, Cerilliant, Vetec, BioReliance and Cell Marque. The Company is subject to extensive regulation by federal, state and local governments and similar international agencies relating to the manufacture, sale and distribution of its products.

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