This is so that you can answer any questions asked pertaining to financial statements or
debt equity ratios.
Debt Equity Ratio - How much a company leveraged, or in debt, by comparing what owed to what is owned is
debt equity ratio.
Look at the long term solvency of a firm, which can be judged by using leverage or capital structure ratios such as
Debt Equity Ratio and Debt Assets Ratio.
The long - term
debt equity ratio is very low, at 0.26.
Not exact matches
Debt - to - capital
ratio excluding net unrealized investment gains, net of tax, included in shareholders»
equity
The
ratio of
debt - to - capital excluding after - tax net unrealized investment gains included in shareholders»
equity was 23.4 %, within the Company's target range of 15 % to 25 %.
Debt - to - capital ratio excluding net unrealized gain on investments, net of tax, included in shareholders» equity, is the ratio of debt to total capitalization excluding the after - tax impact of net unrealized investment gains and losses included in shareholders» equ
Debt - to - capital
ratio excluding net unrealized gain on investments, net of tax, included in shareholders»
equity, is the
ratio of
debt to total capitalization excluding the after - tax impact of net unrealized investment gains and losses included in shareholders» equ
debt to total capitalization excluding the after - tax impact of net unrealized investment gains and losses included in shareholders»
equity.
According to the Bank, corporate Canada's overall
debt - to -
equity ratio — under 0.9, down from 1.5 in the mid-1990s — is at a historic low, the result of two decades of private - sector deleveraging.
Koonar's looking for undervalued companies; McColl likes businesses that can grow their free cash flow; Cooke wants to own operations that have low
debt - to -
equity ratios.
He likes to see the
ratio of
debt to total capitalization (
debt divided by shareholders»
equity plus
debt) under 50 %.
No word yet on the
equity - to -
debt ratio, but
debt financing will be provided by a large group of banks that include BofA Merrill Lynch, Morgan Stanley, CUBS and Jefferies.
Since the leveraged buyout, SRC's sales have grown 40 % per year and are expected to reach $ 42 million in fiscal 1986; net operating income has risen to 11 %; the
debt - to -
equity ratio has been cut from 89 - to - 1 to 5.1 - to - 1; and the appraised value of a share in the company's employee stock ownership plan has increased from 10?
So, while a low
debt - to -
equity ratio is always better, it's a must for investors buying into casinos.
We can interpret a
debt -
equity ratio of 0.5 as saying that the company is using $ 0.50 of liabilities in addition to each $ 1 of shareholders»
equity in the business.
Comparing Companies After determining the extent of a company's
debt, the investor should next assess whether the company's
debt - to -
equity ratio is too high.
As with any
ratio, this depends on a company's industry; however, it's generally accepted that industrials should maintain a
debt - to -
equity ratio between 0.5 and 1.5.
Interpreting the
Ratio Let's say a company has long - term
debt of $ 10 million in the form of a bond outstanding and
equity of $ 10 million.
On average,
debt - to -
equity ratios have been on the rise over the past two decades.
Debt securities convertible into
equity could be subject to adjustments in the conversion
ratio pursuant to which certain events may increase the number of
equity securities issuable upon conversion.
If the same company has the bond outstanding and only $ 1 million in
equity, then the
debt - to -
equity ratio is 10 (10/1 = 10).
Alternatively, if the company has the $ 10 million bond outstanding and $ 20 million in
equity, giving a
debt - to -
equity ratio of 0.5, investors can feel a little bit more comfortable.
The
debt - to -
equity ratio is 1 (10/10 = 1).
On the other hand, a high
debt - to -
equity ratio translates into higher risk for shareholders since creditors are always first in line for compensation should the company go bankrupt.
Even though the company has a strong
debt - to -
equity ratio, the quick
ratio of 0.17 is very weak and demonstrates a lack of ability to pay short - term obligations.
Compared to the broad XIC, XEG has a) a price to earnings
ratio that is only slightly higher, b) a price to book
ratio that is lower, c) a
debt to
equity ratio that is about half of XIC, d) a dividend yield that is comparable and e) profit margins that grew 30 % this year versus 18 % for XIC.
CVX's
debt - to -
equity ratio is very low at 0.21 and is currently below that of the industry average, implying that there has been very successful management of
debt levels.
They all have
debt to
equity ratios of less than 50 %, a good thing if a recession does occur.
Although the company had a strong
debt - to -
equity ratio, its quick
ratio of 0.84 is somewhat weak and could be cause for future problems.
Despite the fact that XOM's
debt - to -
equity ratio is low, the quick
ratio, which is currently 0.52, displays a potential problem in covering short - term cash needs.
While there is no exact definition, quality typically refers to some combination of high profitability, a low
debt - to -
equity ratio, and earnings consistency.
The «optimal»
debt /
equity ratio theories are best left in the classroom.
Despite the fact that PG's
debt - to -
equity ratio is low, the quick
ratio, which is currently 0.55, displays a potential problem in covering short - term cash needs.
Regardless of the somewhat mixed results with the
debt - to -
equity ratio, the company's quick
ratio of 1.11 is sturdy.
According to Caixin, the company's
debt - to -
equity ratio was formally 121 % prior to bankruptcy, but an independent audit carried out as part of the bankruptcy procedure put the
ratio at a debilitating 217 %.
As long as your
debt - to - income
ratio is low, however, and you have a larger
equity position — meaning you can afford a larger down payment — you stand a good chance of getting approved for a loan with a decent interest rate.
The 2013 survey also suggests that hedging
ratios for foreign
equity assets were lower than those of foreign
debt assets, which is also consistent with the results of the 2013 National Australia Bank Superannuation FX Survey (NAB Survey; NAB 2013).
Negative
equity borrowers often achieved high loan - to - value
ratios with subordinate liens in addition to their first lien and had higher than average
debt - to - income
ratios.
The
ratio business
equity to long - term
debt provides a window of opportunity identifying the cause and effect of industry finances.
If one compares WLL (Jan 11 close — $ 47.55) & KOG (Jan 11 close — $ 9.20) on the parameters mentioned in the table below, WLL appears to be an obvious choice due to its lower valuation and
debt /
equity ratio.
Also, General Partners who have structured their fund with an SBIC license (typically a 2:1
debt to
equity ratio), use the secondary market to decrease or remove leverage on the fund.
In fact, certain types of loans will require that a business maintain a balance of
equity and
debt (called «leverage
ratio») that is appropriate for the stage of business and the industry in which it operates.
Private
equity was tempted to launch a takeover blitz at a
debt - to - cashflow
ratio of 5.4 because
debt was made so cheap.
I screened for Aristocrats which had a sustainable payout
ratio, a reasonable dividend yield, relatively low
debt /
equity ratio, and positive projected earnings.
Its financial
debt - to -
equity ratio is a modest 0.12 times, easily lower than its closest peers.
The company has a current
ratio of 2.47, a quick
ratio of 1.62 and a
debt - to -
equity ratio of 0.97.
In the July 2010 version of their paper entitled «The Impact of Investor Sentiment on the German Stock Market», Philipp Finter, Alexandra Niessen - Ruenzi and Stefan Ruenzi test the predictive power of a composite sentiment measure combining consumer confidence, net
equity mutual funds flow, put - call
ratio, aggregate trading volume, initial public offering (IPO) returns, number of IPOs and aggregate
equity - to -
debt ratio of new issues.
The company has a quick
ratio of 0.94, a current
ratio of 1.19 and a
debt - to -
equity ratio of 0.96.
The
debt /
equity ratio is very high, because Clorox has practically no
equity.
They all sport little or no
debt, a high historical return on
equity and investment, and a PEG
ratio below 1.
Generally, though, we look at
debt - to -
equity ratios, liquidity, depreciation rates, accounting practices, pension and healthcare liabilities, and «hidden» assets and liabilities.