Sentences with phrase «high debt to equity ratio»

When a business has a high debt to equity ratio, it has imposed on itself a large block of fixed cost in the form of interest expense, which increases its breakeven point.

This backtest of the total debt to equity ratio reveals that the third, fourth and fifth quintiles (the quintiles with the highest debt to equity ratios) outperform the S&P 500 Equal Weight Index benchmark.

Not exact matches

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.

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.

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.

While there is no exact definition, quality typically refers to some combination of high profitability, a low debt - to - equity ratio, and earnings consistency.

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.

In fact, lenders, partners, suppliers and investors may all be turned off by a high debt - to - equity ratio.

A high debt - to - equity ratio indicates that a company is primarily financed through debt.

Just like an individual whose debt far outweighs his or her assets, a company with a high debt - to - equity ratio is in a precarious state.

That's why a high debt - to - equity ratio can be a red flag for investors.

«As interest rates increase, if they go too high, the higher debt - to - equity ratios and leverage will have a negative effect on cash flows.»

I know if by debt to income ratio is high I may get a higher interest rate on the home equity loan or the bank may not give me the loan at all.

I was also wondering, that since balanced funds have a high expense ratio, does it make sense to invest in equity MFs separately and a debt fund instead of a balanced fund?

In addition to your home equity, you'll need to meet debt - to - income - ratio requirements on the higher mortgage payments.

Hengfu seeks to find stocks with strong earnings and sales growth, favorable p / e / g ratios, high operating margins, low debt - to - equity, consistent free cash and relative price strength.

If you have extremely high debt - to - income ratio and there is not much of equity in the property, you will not qualify for an equity loan to be able to consolidate your bills.

Construction Loan... my husband and I are in a position to buy 2 lots of property fairly cheap... we have high debt to income ratio... would the equity in our houses and the rent we could obtain be enough to qualify for a construction loan...

In addition, seniors with low credit scores and high debt - to - income ratios may not be able to qualify for a home equity loan or HELOC.

In terms of quantitative metrics, the following criteria may be used in a screener: a debt / equity ratio above 2 - 3, high debt relative to EBITDA and large drops in stock prices.

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.

That means you can have a lower credit score and less home equity than you'd need for a conventional loan and, in some cases, a higher debt - to - income ratio.

Let's say your preferred allocation is 80:20 (equity: debt), markets reach new highs and your equity unrealized gains may soar, this may result in higher % of equity investments corpus in your portfolio, so you may have to book some profits and move the monies to debt category, to maintain 80:20 ratio.

Debt - to - equity ratio which is low, say 0.1, would suggest that the company is not fully utilizing the cheaper source of finance (i.e. debt) whereas a debt - to - equity ratio that is high, say 0.9, would indicate that the company is facing a very high financial rDebt - to - equity ratio which is low, say 0.1, would suggest that the company is not fully utilizing the cheaper source of finance (i.e. debt) whereas a debt - to - equity ratio that is high, say 0.9, would indicate that the company is facing a very high financial rdebt) whereas a debt - to - equity ratio that is high, say 0.9, would indicate that the company is facing a very high financial rdebt - to - equity ratio that is high, say 0.9, would indicate that the company is facing a very high financial risk.

When debt - to - equity ratio is high, it increases the likelihood that the company defaults and is liquidated as a result.

But if the debt to equity ratio is quite high, it may signal that the company is already carrying too much debt that may make it unable to pay its obligations to its creditors or lenders.

i cant even get a Home Equity Loan, because my DEBT to Income Ratio is too high, and i can not reduce it @ these Interest RATES!

The debt to equity ratio identifies companies that are highly leveraged and therefore a higher risk for investors.

A company equipped with low Debt to Equity Ratio, low Debt to Assets Ratio, low Capitalization Ratio, and high Interest Coverage Ratio is likely to stay afloat in a bear market.

Deed Deposit Down Payment Equity Estoppel Agreement Fire / Property Insurance Fixed Rate Mortgage Gross Debt Service Ratio High Ratio Mortgage Interest Rate Loan to Value Maturity Date