FTAC Emerald Current Debt
FLD Stock | 11.17 0.01 0.09% |
The current year's Net Debt is expected to grow to about 2.1 M, whereas Short and Long Term Debt Total is forecasted to decline to about 1.6 M. . FTAC Emerald's financial risk is the risk to FTAC Emerald stockholders that is caused by an increase in debt.
Debt Ratio | First Reported 2010-12-31 | Previous Quarter 0.011 | Current Value 0.00976 | Quarterly Volatility 0.00068252 |
Given that FTAC Emerald's debt-to-equity ratio measures a Company's obligations relative to the value of its net assets, it is usually used by traders to estimate the extent to which FTAC Emerald is acquiring new debt as a mechanism of leveraging its assets. A high debt-to-equity ratio is generally associated with increased risk, implying that it has been aggressive in financing its growth with debt. Another way to look at debt-to-equity ratios is to compare the overall debt load of FTAC Emerald to its assets or equity, showing how much of the company assets belong to shareholders vs. creditors. If shareholders own more assets, FTAC Emerald is said to be less leveraged. If creditors hold a majority of FTAC Emerald's assets, the Company is said to be highly leveraged.
At present, FTAC Emerald's Liabilities And Stockholders Equity is projected to decrease significantly based on the last few years of reporting. FTAC |
FTAC Emerald Financial Rating
FTAC Emerald Acquisition financial ratings play a critical role in determining how much FTAC Emerald have to pay to access credit markets, i.e., the amount of interest on their issued debt. The threshold between investment-grade and speculative-grade ratings has important market implications for FTAC Emerald's borrowing costs.Piotroski F Score | 4 | Poor | View |
Beneish M Score | (5.14) | Unlikely Manipulator | View |
FTAC Emerald Total Assets Over Time
FTAC Emerald Assets Financed by Debt
The debt-to-assets ratio shows the degree to which FTAC Emerald uses debt to finance its assets. It includes both long-term and short-term borrowings maturing within one year. It also includes both tangible and intangible assets, such as goodwill.FTAC Emerald Debt Ratio | 0.98 |
FTAC Net Debt
Net Debt |
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Understaning FTAC Emerald Use of Financial Leverage
FTAC Emerald's financial leverage ratio helps determine the effect of debt on the overall profitability of the company. It measures FTAC Emerald's total debt position, including all outstanding debt obligations, and compares it with FTAC Emerald's equity. Financial leverage can amplify the potential profits to FTAC Emerald's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if FTAC Emerald is unable to cover its debt costs.
Last Reported | Projected for Next Year | ||
Net Debt | 2 M | 2.1 M | |
Short and Long Term Debt Total | 1.8 M | 1.6 M | |
Short and Long Term Debt | 1.8 M | 1.6 M | |
Short Term Debt | 1.8 M | 1.6 M | |
Net Debt To EBITDA | (0.48) | (0.51) | |
Debt To Equity | 0.01 | 0.01 | |
Interest Debt Per Share | 0.06 | 0.05 | |
Debt To Assets | 0.01 | 0.01 | |
Total Debt To Capitalization | 0.01 | 0.01 | |
Debt Equity Ratio | 0.01 | 0.01 | |
Debt Ratio | 0.01 | 0.01 | |
Cash Flow To Debt Ratio | (2.26) | (2.37) |
Also Currently Popular
Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.When determining whether FTAC Emerald Acquisition is a strong investment it is important to analyze FTAC Emerald's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact FTAC Emerald's future performance. For an informed investment choice regarding FTAC Stock, refer to the following important reports:Check out the analysis of FTAC Emerald Fundamentals Over Time. You can also try the Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.
Is Construction Machinery & Heavy Transportation Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of FTAC Emerald. If investors know FTAC will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about FTAC Emerald listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (0.02) | Return On Assets (0.01) |
The market value of FTAC Emerald Acquisition is measured differently than its book value, which is the value of FTAC that is recorded on the company's balance sheet. Investors also form their own opinion of FTAC Emerald's value that differs from its market value or its book value, called intrinsic value, which is FTAC Emerald's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because FTAC Emerald's market value can be influenced by many factors that don't directly affect FTAC Emerald's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between FTAC Emerald's value and its price as these two are different measures arrived at by different means. Investors typically determine if FTAC Emerald is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, FTAC Emerald's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
What is Financial Leverage?
Financial leverage is the use of borrowed money (debt) to finance the purchase of assets with the expectation that the income or capital gain from the new asset will exceed the cost of borrowing. In most cases, the debt provider will limit how much risk it is ready to take and indicate a limit on the extent of the leverage it will allow. In the case of asset-backed lending, the financial provider uses the assets as collateral until the borrower repays the loan. In the case of a cash flow loan, the general creditworthiness of the company is used to back the loan. The concept of leverage is common in the business world. It is mostly used to boost the returns on equity capital of a company, especially when the business is unable to increase its operating efficiency and returns on total investment. Because earnings on borrowing are higher than the interest payable on debt, the company's total earnings will increase, ultimately boosting stockholders' profits.Leverage and Capital Costs
The debt to equity ratio plays a role in the working average cost of capital (WACC). The overall interest on debt represents the break-even point that must be obtained to profitability in a given venture. Thus, WACC is essentially the average interest an organization owes on the capital it has borrowed for leverage. Let's say equity represents 60% of borrowed capital, and debt is 40%. This results in a financial leverage calculation of 40/60, or 0.6667. The organization owes 10% on all equity and 5% on all debt. That means that the weighted average cost of capital is (.4)(5) + (.6)(10) - or 8%. For every $10,000 borrowed, this organization will owe $800 in interest. Profit must be higher than 8% on the project to offset the cost of interest and justify this leverage.Benefits of Financial Leverage
Leverage provides the following benefits for companies:- Leverage is an essential tool a company's management can use to make the best financing and investment decisions.
- It provides a variety of financing sources by which the firm can achieve its target earnings.
- Leverage is also an essential technique in investing as it helps companies set a threshold for the expansion of business operations. For example, it can be used to recommend restrictions on business expansion once the projected return on additional investment is lower than the cost of debt.