Net debt/EBITDA společnosti WPP Plc

Jaká je hodnota metriky Net debt/EBITDA společnosti WPP Plc?

Hodnota metriky Net debt/EBITDA společnosti WPP Plc. je 2.81

Jaká je definice metriky Net debt/EBITDA?



The net debt to earnings before interest, taxes, depreciation, and amortization (Net debt/EBITDA) ratio measures financial leverage and the company’s ability to pay off its debt. It shows how long it would take the company to pay off all its debt with operations at the current level.

The net debt to EBITDA ratio is calculated as Net debt divided by EBITDA. It is similar to the debt to EBITDA ratio, but cash and cash equivalents are subtracted in net debt.

Net debt = short-term debt + long-term debt - cash and cash equivalents
EBITDA = net income + interest expense + taxes + depreciation + amortization

Lower debt debt to EBITDA ratio indicates the company is not heavily indebted and should be able to repay its obligations. Alternatively, higher ratio indicated the company is excessively indebted. The ratio varies between industries as different industries have different capital requirements. Usually, the ratio should be compared to a benchmark or an industry average to determine the company’s credit risk. Generally, a net debt to EBITDA ratio above 4 or 5 is considered high.

Net debt/EBITDA společností v sektoru Communication Services sektor na NYSE ve srovnání se společností WPP Plc

Čemu se věnuje společnost WPP Plc?

WPP plc is a British multinational communications, advertising, public relations, technology, and commerce holding company headquartered in London, England.

Firmy s metrikou net debt/ebitda podobnou společnosti WPP Plc