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Debt/EBITDA (earnings before interest, taxes, depreciation, and amortization) is a financial ratio that measures a company’s ability to pay off its debt obligations using its operating income. It is calculated by dividing a company’s total debt by its EBITDA. This ratio is commonly used by investors, lenders, and analysts to evaluate a company’s financial health and its ability to manage its debt. A lower Debt/EBITDA ratio indicates that a company has less debt relative to its earnings and is considered more financially stable.