Apple (XSGO:AAPL) Debt-to-EBITDA

: 0.63 (As of Dec. 2023)

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

Apple's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $12,952 Mil. Apple's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $95,088 Mil. Apple's annualized EBITDA for the quarter that ended in Dec. 2023 was $172,884 Mil. Apple's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was 0.62.

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

XSGO:AAPL' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.57 Med: 1.1 Max: 1.51
Current: 0.81

During the past 13 years, the highest Debt-to-EBITDA Ratio of Apple was 1.51. The lowest was 0.57. And the median was 1.10.

XSGO:AAPL's Debt-to-EBITDA is ranked better than
68.96% of 1730 companies
in the Hardware industry
Industry Median: 1.75 vs XSGO:AAPL: 0.81

Apple Debt-to-EBITDA Historical Data

The historical data trend for Apple'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.

Apple Annual Data

Trend

Sep14

Sep15

Sep16

Sep17

Sep18

Sep19

Sep20

Sep21

Sep22

Sep23

Debt-to-EBITDA

1.32

1.39

1.01

0.90

0.86

Apple Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Debt-to-EBITDA																0.71	0.85	1.02	0.91	0.63

Competitive Comparison

For the Consumer Electronics subindustry, Apple'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.

Apple Debt-to-EBITDA Distribution

For the Hardware industry and Technology sector, Apple's Debt-to-EBITDA distribution charts can be found below:

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

Apple Debt-to-EBITDA Calculation

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

Apple's Debt-to-EBITDA for the fiscal year that ended in Sep. 2023 is calculated as

Debt-to-EBITDA	=	Total Debt			/	EBITDA
	=	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)	/	EBITDA
	=	(15807	+	95281)	/	129188
	=	0.86

Apple's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 is calculated as

Debt-to-EBITDA	=	Total Debt			/	EBITDA
	=	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)	/	EBITDA
	=	(12952	+	95088)	/	172884
	=	0.62

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 (Dec. 2023) EBITDA data.

Apple (XSGO:AAPL) 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.

Apple Debt-to-EBITDA Related Terms

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Apple (XSGO:AAPL) Business Description

Industry

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Comparable Companies

Traded in Other Exchanges

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Address

One Apple Park Way, Cupertino, CA, USA, 95014

Website

https://www.apple.com

Apple is among the largest companies in the world, with a broad portfolio of hardware and software products targeted at consumers and businesses. Apple's iPhone makes up a majority of the firm sales, and Apple's other products like Mac, iPad, and Watch are designed around the iPhone as the focal point of an expansive software ecosystem. Apple has progressively worked to add new applications, like streaming video, subscription bundles, and augmented reality. The firm designs its own software and semiconductors while working with subcontractors like Foxconn and TSMC to build its products and chips. Slightly less than half of Apple's sales come directly through its flagship stores, with a majority of sales coming indirectly through partnerships and distribution.