Research Update: Ashton Woods USA LLC Upgraded To 'BB-' On Continued Operating Momentum, Outlook Stable - S&P Global Ratings’ Credit Research

Research Update: Ashton Woods USA LLC Upgraded To 'BB-' On Continued Operating Momentum, Outlook Stable

Research Update: Ashton Woods USA LLC Upgraded To 'BB-' On Continued Operating Momentum, Outlook Stable - S&P Global Ratings’ Credit Research
Research Update: Ashton Woods USA LLC Upgraded To 'BB-' On Continued Operating Momentum, Outlook Stable
Published Oct 11, 2023
7 pages (2876 words) — Published Oct 11, 2023
Price US$ 225.00  |  Buy this Report Now

About This Report

  
Abstract:

Ashton Woods USA LLC has maintained its operating momentum, despite the uncertain macroeconomic dynamics, leading us to forecast debt to EBITDA of 1.5x-2.0x and EBITDA margins of approximately 15%-17% for fiscal years 2024 and 2025. Therefore, S&P Global Ratings raised is issuer credit rating on the company to 'BB-' from 'B+'. We raised our issue level rating to BB- from B+, the '3' recovery rating is unchanged. The stable outlook reflects our forecast that Ashton's debt to EBITDA will remain below 2x for the next 24 months while its debt to capital trends toward the 40%-50% range. The company's strong earnings performance and elevated sales backlog as of the end of fiscal year 2023 and into fiscal year 2024 will

  
Brief Excerpt:

...- Ashton Woods USA LLC has maintained its operating momentum, despite the uncertain macroeconomic dynamics, leading us to forecast debt to EBITDA of 1.5x-2.0x and EBITDA margins of approximately 15%-17% for fiscal years 2024 and 2025. - Therefore, S&P Global Ratings raised is issuer credit rating on the company to '##-' from 'B+'. - We raised our issue level rating to ##- from B+, the '3' recovery rating is unchanged. - The stable outlook reflects our forecast that Ashton's debt to EBITDA will remain below 2x for the next 24 months while its debt to capital trends toward the 40%-50% range. The company's strong earnings performance and elevated sales backlog as of the end of fiscal year 2023 and into fiscal year 2024 will help it sustain its lower than historical leverage....

  
Report Type:

Research Update

Ticker
616150Z
Issuer
Ashton Woods USA LLC
GICS
Homebuilding (25201030)
Sector
Global Issuers, Structured Finance
Country
United States
Region
United States
Format:
PDF Adobe Acrobat
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "Research Update: Ashton Woods USA LLC Upgraded To 'BB-' On Continued Operating Momentum, Outlook Stable" Oct 11, 2023. Alacra Store. May 05, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-Ashton-Woods-USA-LLC-Upgraded-To-BB-On-Continued-Operating-Momentum-Outlook-Stable-3069160>
  
APA:
S&P Global Ratings’ Credit Research. (). Research Update: Ashton Woods USA LLC Upgraded To 'BB-' On Continued Operating Momentum, Outlook Stable Oct 11, 2023. New York, NY: Alacra Store. Retrieved May 05, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-Ashton-Woods-USA-LLC-Upgraded-To-BB-On-Continued-Operating-Momentum-Outlook-Stable-3069160>
  
US$ 225.00
$  £  €
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