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Monday, February 28, 2011

Highest debt ratios in Gambling Industry

TOP 5 COMPANIES IN THE CASINOS & GAMING INDUSTRY WITH THE HIGHEST DEBT TO EBITDA RATIO (MGM, BYD, PNK, ISLE, SGMS)

Below are the top five companies in the Casinos & Gaming industry as measured by their Debt to EBITDA ratio.

The measure of a debt's pay-back period is Debt/EBITDA. The longer the payback period, the greater the risk. This metric ignores all tax expenses even though a good portion are cash payments and gets paid first.

MGM Mirage (NYSE:MGM) has a Debt/EBITDA ratio of 12.81x based on total debt of $12.6 billion.

Boyd Gaming (NYSE:BYD) has a Debt/EBITDA ratio of 8.66x based on total debt of $3.2 billion.

Pinnacle Entertainment (NYSE:PNK) has a Debt/EBITDA ratio of 7.42x based on total debt of $1.2 billion.

Isle of Capri Casinos (NASDAQ:ISLE) has a Debt/EBITDA ratio of 7.34x based on total debt of $1.3 billion.

Scientific Games (NASDAQ:SGMS) has a Debt/EBITDA ratio of 7.28x based on total debt of $1.5 billion.

SmarTrend is monitoring the recent change of momentum in Pinnacle Entertainment. Please refer to our Company Overview for the results of our proprietary technical indicators that have been scanning shares of Pinnacle Entertainment in search of a potential trend change.

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