Top 15 Consumer Cyclical Stocks With the Least Debt
Marvin screened Consumer Cyclical companies for debt no higher than half of equity and a solid Overall score. Fifteen passed, led by Blue Bird, Amazon and XPEL. Champion Homes shows the lowest debt-to-equity ratio of the group.
Consumer Cyclical companies sell things people buy more freely when money is comfortable, such as cars, clothing, travel and home goods. Because their sales can swing with the economy, heavy debt can add pressure in weaker years. That is why many readers look for lower-debt names in this sector.
This list uses debt-to-equity, which compares what a company owes with the shareholder money in the business. A lower ratio means less borrowing relative to its equity. Every company here is at or below half of equity, and each also earned a solid Overall score from Marvin.
Low debt is only one part of the picture. Each pick below also shows growth, margins or returns, and a caution where a figure is weak or missing. The list is ranked by Overall score, not by who has the least debt, so use the ratios to compare.
The list
How Marvin ranked these stocks
Marvin started with companies above a minimum size and ranked them by its scores, which run from low to high and compare each company only with others in its own industry. The Consumer Cyclical sector list is ordered by highest Overall score first. It includes only companies with debt no more than half of equity and a solid Overall score, with a small cap on how many stocks come from any one industry. A strong score means a company looks good against its industry peers today, not against the whole market.
Companies above about $300 million in size, ranked by Marvin scores (0-100, relative to each company's own industry). The Consumer Cyclical sector, highest Overall score first, among companies with debt no more than half of equity and an Overall score of at least 55; at most 4 per industry.
The stocks, one by one
Blue Bird Corporation BLBD
Blue Bird has a debt-to-equity ratio of 0.18 and a return on equity of 43.0%, suggesting light borrowing and strong profit on shareholder money. Operating margin is 11.8%. Caution: gross margin of 20.6% is only modest, so cost changes could matter.
Amazon.com, Inc. AMZN
Amazon shows a debt-to-equity ratio of 0.44 and revenue growth of 12.4%, pointing to moderate borrowing and healthy expansion. Operating margin is 12.1%. Caution: free cash flow margin is -1.5%, below zero, so it used more cash than it brought in.
XPEL, Inc. XPEL
XPEL, an auto-parts company, combines a low debt-to-equity ratio of 0.21 with revenue growth of 13.3% and a gross margin of 42.9%, which suggests good pricing power. Caution: free cash flow margin is -0.6%, below zero, so cash generation is a weak spot.
Steven Madden, Ltd. SHOO
Steven Madden carries a debt-to-equity ratio of 0.40 and turned 8.2% of sales into free cash flow, a decent cash cushion. Revenue growth was 11.0%. Caution: operating margin of 7.5% is thin, so profit per sale of footwear and accessories is limited.
Interface, Inc. TILE
Interface has a debt-to-equity ratio of 0.43 and an operating margin of 13.6%, suggesting restrained borrowing and solid profitability. Return on equity is 21.5%. Caution: revenue growth of 5.4% is slow, so sales are expanding only gradually.
YETI Holdings, Inc. YETI
YETI has a debt-to-equity ratio of 0.41, a gross margin of 59.2% and a free cash flow margin of 13.2%, signs of strong pricing and cash generation. Caution: revenue growth of 2.1% is very low, so sales are barely expanding.
Rush Enterprises, Inc. RUSHA
Rush Enterprises has a debt-to-equity ratio of 0.22 and a return on equity of 11.4%, showing modest borrowing and decent returns. Caution: revenue growth of -4.7% shows sales fell last year, and its operating margin of 5.1% is slim.
SharkNinja, Inc. SN
SharkNinja has a debt-to-equity ratio of 0.32, revenue growth of 15.7% and an operating margin of 13.8%, a mix of low debt, fast expansion and healthy profits. Caution: its Opportunity score of 55 is only middling next to its industry peers.
Airbnb, Inc. ABNB
Airbnb has a debt-to-equity ratio of 0.32, an operating margin of 20.8% and a return on equity of 34.5%, indicating low borrowing and strong profitability. Caution: its free cash flow margin is not available, and its Opportunity score of 39 is low.
Dorman Products, Inc. DORM
Dorman Products has a debt-to-equity ratio of 0.35, an operating margin of 14.5% and a free cash flow margin of 9.9%, suggesting modest debt and steady profit. Caution: revenue growth of 6.0% and return on equity of 14.5% are both fairly modest.
Champion Homes, Inc. SKY
Champion Homes has the lowest debt-to-equity ratio on this list, at 0.02, and a free cash flow margin of 10.0%. Revenue growth was 7.3%. Caution: its Quality score of 69 is middling, and its operating margin of 8.7% is modest.
Rocky Brands, Inc. RCKY
Rocky Brands has a debt-to-equity ratio of 0.49, an operating margin of 8.8% and revenue growth of 6.2%. Caution: its debt ratio is among the higher ones here, its Quality score of 58 is weak, and its free cash flow margin is only 3.3%.
Visteon Corporation VC
Visteon has a debt-to-equity ratio of 0.27, suggesting restrained borrowing, and a return on equity of 8.9%. Caution: revenue growth of -2.5% shows sales fell, and its margin figures are not available, so profitability is hard to judge here.
Macy's, Inc. M
Macy's has a debt-to-equity ratio of 0.49 and a free cash flow margin of 6.2%, so it turns some sales into cash. Operating margin is 5.0%. Caution: revenue growth of -1.7% shows shrinking sales, and its Quality score of 51 is weak.
Pursuit Attractions and Hospitality, Inc. PRSU
Pursuit Attractions and Hospitality has a debt-to-equity ratio of 0.46, revenue growth of 23.4% and a gross margin of 92.5%, a mix of fast growth and ample room over direct costs. Caution: free cash flow margin is -1.1%, below zero, and return on equity is only 7.2%.
Common questions
What does debt-to-equity mean?
Debt-to-equity compares what a company owes with the money shareholders have invested in it. A lower ratio means the company relies less on borrowing. Every stock on this list is at or below half of equity.
Does low debt make a stock a safe choice?
Not by itself. Low debt can leave a company less strained when sales slow, but profits, cash flow and growth matter too. Several companies here have weak spots such as falling sales or negative free cash flow, which the blurbs point out.
Why are some figures missing for certain companies?
Marvin only shows a figure when the underlying data is available for that company. Airbnb has no free cash flow margin, and Visteon lacks several margin figures. Missing data is noted in the blurb so you know what could not be checked.
Keep reading
- Top 15 Consumer Cyclical Companies by Business Quality
- Top 15 Auto Parts Stocks Ranked by Marvin Scores
- Top 16 Auto Stocks, Ranked by Marvin Scores
- Top 15 Fastest-Growing Profitable Consumer Cyclical Stocks
Free account. Build your own AI-made watchlists, follow Marvin's scores and share lists.
Create a free account
Marvin's scores (0-100) compare each company with others in its industry today. Growth and margin figures come from SEC filings. This is general information, not personal investment advice or a recommendation to buy or sell anything. Do your own research.