Kiromic Biopharma 55336VAL4 Bond
| KRBPDelisted Stock | USD 2.68 0.07 2.55% |
Kiromic Biopharma holds a debt-to-equity ratio of 0.205. . Kiromic Biopharma's financial risk is the risk to Kiromic Biopharma stockholders that is caused by an increase in debt.
Asset vs Debt
Equity vs Debt
Kiromic Biopharma's liquidity is one of the most fundamental aspects of both its future profitability and its ability to meet different types of ongoing financial obligations. Kiromic Biopharma's cash, liquid assets, total liabilities, and shareholder equity can be utilized to evaluate how much leverage the Company is using to sustain its current operations. For traders, higher-leverage indicators usually imply a higher risk to shareholders. In addition, it helps Kiromic Stock's retail investors understand whether an upcoming fall or rise in the market will negatively affect Kiromic Biopharma's stakeholders.
For most companies, including Kiromic Biopharma, marketable securities, inventories, and receivables are the most common assets that could be converted to cash. However, for Kiromic Biopharma, the most critical issue when managing liquidity is ensuring that current assets are properly aligned with current liabilities. If they are not, Kiromic Biopharma's management will need to obtain alternative financing to ensure there are always enough cash equivalents on the balance sheet to meet obligations.
Kiromic |
Given the importance of Kiromic Biopharma's capital structure, the first step in the capital decision process is for the management of Kiromic Biopharma to decide how much external capital it will need to raise to operate in a sustainable way. Once the amount of financing is determined, management needs to examine the financial markets to determine the terms in which the company can boost capital. This move is crucial to the process because the market environment may reduce the ability of Kiromic Biopharma to issue bonds at a reasonable cost.
| Popular Name | Kiromic Biopharma MPLX LP 52 |
| Specialization | Biotechnology |
| Equity ISIN Code | US4976341051 |
| Bond Issue ISIN Code | US55336VAL45 |
| S&P Rating | Others |
| Maturity Date | 1st of March 2047 |
| Issuance Date | 10th of February 2017 |
| Coupon | 5.2 % |
Kiromic Biopharma Outstanding Bond Obligations
| Boeing Co 2196 | US097023DG73 | Details | |
| HSBC Holdings PLC | US404280DR76 | Details | |
| MPLX LP 52 | US55336VAL45 | Details | |
| International Game Technology | US460599AD57 | Details | |
| MGM Resorts International | US552953CD18 | Details | |
| AerCap Global Aviation | US00773HAA59 | Details |
Understaning Kiromic Biopharma Use of Financial Leverage
Kiromic Biopharma's financial leverage ratio measures its total debt position, including all of its outstanding liabilities, and compares it to Kiromic Biopharma's current equity. If creditors own a majority of Kiromic Biopharma's assets, the company is considered highly leveraged. Understanding the composition and structure of Kiromic Biopharma's outstanding bonds gives an idea of how risky it is and if it is worth investing in.
Kiromic BioPharma, Inc., an artificial intelligence driven allogeneic cell therapy company, engages in developing the multi-indication allogeneic T cell therapies that exploits the natural potency of the Gamma Delta T cell to target solid tumors. Kiromic BioPharma, Inc. was founded in 2006 and is headquartered in Houston, Texas. Kiromic Biopharma operates under Biotechnology classification in the United States and is traded on NASDAQ Exchange. It employs 59 people. Please read more on our technical analysis page.
Pair Trading with Kiromic Biopharma
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Kiromic Biopharma position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Kiromic Biopharma will appreciate offsetting losses from the drop in the long position's value.Moving together with Kiromic Stock
Moving against Kiromic Stock
| 0.66 | DRUG | Bright Minds Biosciences | PairCorr |
| 0.66 | SABSW | SAB Biotherapeutics | PairCorr |
| 0.62 | VCYT | Veracyte | PairCorr |
| 0.52 | DMAC | DiaMedica Therapeutics Upward Rally | PairCorr |
| 0.46 | VAXX | Vaxxinity | PairCorr |
The ability to find closely correlated positions to Kiromic Biopharma could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Kiromic Biopharma when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Kiromic Biopharma - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Kiromic Biopharma to buy it.
The correlation of Kiromic Biopharma is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Kiromic Biopharma moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Kiromic Biopharma moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Kiromic Biopharma can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Correlation Analysis to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in bureau of labor statistics. You can also try the Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.
Other Consideration for investing in Kiromic Stock
If you are still planning to invest in Kiromic Biopharma check if it may still be traded through OTC markets such as Pink Sheets or OTC Bulletin Board. You may also purchase it directly from the company, but this is not always possible and may require contacting the company directly. Please note that delisted stocks are often considered to be more risky investments, as they are no longer subject to the same regulatory and reporting requirements as listed stocks. Therefore, it is essential to carefully research the Kiromic Biopharma's history and understand the potential risks before investing.
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data |
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.