Corpus ID: 15382306

Putting EBITDA In Perspective Ten Critical Failings Of EBITDA As The Principal Determinant Of Cash Flow

@inproceedings{Stumpp2000PuttingEI,
  title={Putting EBITDA In Perspective Ten Critical Failings Of EBITDA As The Principal Determinant Of Cash Flow},
  author={Pamela M. Stumpp and Tom Marshella and M. Rowan and R. Mccreary and Monica Coppola},
  year={2000}
}
Opinion • The use of EBITDA and related EBITDA ratios as a single measure of cash flow without consideration of other factors can be misleading. • EBITDA is probably best assessed by breaking down its components into EBIT, Depreciation, and Amortization. Generally speaking, the greater the percentage of EBIT in EBITDA, the stronger the underlying cash flow. • EBITDA is relevant to determining cash flow in its extremis. EBITDA remains a legitimate tool for analyzing low-rated credits at the… Expand
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  • 51 OF 147 COMPANIES TO DEFAULT IN
  • 1999