Latest News:
news, comment, analysis and data on the global business of credit trading and investing
Leverage ratio
The ratio between the amount of debt a borrower has outstanding and its annual earnings before interest, tax and debt amortisation (ebitda). This ratio is frequently used to compare the amount of leverage that different high yield companies carry, and is frequently measured as in turns of leverage, where a one-to-one ratio between debt and ebitda counts as one turn of leverage.
Related stories
- Credit investors find company’s extreme makeover a turn-off 1 month ago
- Moody's releases handbrake on auto firm's rating with upgrade 10 months ago
- West coast manager raises $180.5 million for credit vehicle 1 year ago
- First Data loan change rings alarm bells for bond holders 1 year ago
- Credit spotlight – cash guzzlers 2 years ago
- Waiting for public funds to flow 2 years ago
- Homebuilder files bankruptcy with $370 million of debt 2 years ago
- Indebted construction company files prepackaged chapter 11 2 years ago
- Canwest files for creditor protection after long battle 2 years ago
