Neuberger Berman IMF 64128XAE0 Bond

NBH Stock  USD 10.75  0.08  0.75%   
Neuberger Berman IMF holds a debt-to-equity ratio of 0.712. The Neuberger Berman's current Interest Debt Per Share is estimated to increase to 7.27, while Net Debt is forecasted to increase to (109.1 K). With a high degree of financial leverage come high-interest payments, which usually reduce Neuberger Berman's Earnings Per Share (EPS).

Asset vs Debt

Equity vs Debt

Neuberger Berman'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. Neuberger Berman'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 Neuberger Stock's retail investors understand whether an upcoming fall or rise in the market will negatively affect Neuberger Berman's stakeholders.
For most companies, including Neuberger Berman, marketable securities, inventories, and receivables are the most common assets that could be converted to cash. However, for Neuberger Berman IMF, the most critical issue when managing liquidity is ensuring that current assets are properly aligned with current liabilities. If they are not, Neuberger Berman's management will need to obtain alternative financing to ensure there are always enough cash equivalents on the balance sheet to meet obligations.
Price Book
0.9068
Book Value
11.767
Operating Margin
0.8586
Profit Margin
0.8201
Return On Assets
0.0245
As of now, Neuberger Berman's Total Current Liabilities is increasing as compared to previous years. The Neuberger Berman's current Non Current Liabilities Total is estimated to increase to about 275.2 M, while Liabilities And Stockholders Equity is projected to decrease to under 373.6 M.
  
Check out the analysis of Neuberger Berman Fundamentals Over Time.
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Given the importance of Neuberger Berman's capital structure, the first step in the capital decision process is for the management of Neuberger Berman 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 Neuberger Berman IMF to issue bonds at a reasonable cost.
Popular NameNeuberger Berman US64128XAE04
SpecializationFinancial Services
Equity ISIN CodeUS64124P1012
Bond Issue ISIN CodeUS64128XAE04
View All Neuberger Berman Outstanding Bonds

Neuberger Berman IMF Outstanding Bond Obligations

Understaning Neuberger Berman Use of Financial Leverage

Understanding the composition and structure of Neuberger Berman's debt gives an idea of how risky is the capital structure of the business and if it is worth investing in it. The degree of Neuberger Berman's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets).
Last ReportedProjected for Next Year
Net Debt-114.9 K-109.1 K
Long Term Debt153.3 M142.3 M
Short and Long Term Debt161.4 M143.5 M
Short and Long Term Debt Total262.1 M198.5 M
Net Debt To EBITDA(32.19)(30.58)
Debt To Equity 0.65  0.50 
Interest Debt Per Share 6.93  7.27 
Debt To Assets 0.37  0.30 
Long Term Debt To Capitalization 0.38  0.31 
Total Debt To Capitalization 0.38  0.31 
Debt Equity Ratio 0.65  0.50 
Debt Ratio 0.37  0.30 
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When determining whether Neuberger Berman IMF offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Neuberger Berman's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Neuberger Berman Imf Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Neuberger Berman Imf Stock:
Check out the analysis of Neuberger Berman Fundamentals Over Time.
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Is Asset Management & Custody Banks 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 Neuberger Berman. If investors know Neuberger 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 Neuberger Berman listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.079
Dividend Share
0.453
Earnings Share
0.23
Revenue Per Share
0.745
Quarterly Revenue Growth
0.589
The market value of Neuberger Berman IMF is measured differently than its book value, which is the value of Neuberger that is recorded on the company's balance sheet. Investors also form their own opinion of Neuberger Berman's value that differs from its market value or its book value, called intrinsic value, which is Neuberger Berman'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 Neuberger Berman's market value can be influenced by many factors that don't directly affect Neuberger Berman'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 Neuberger Berman's value and its price as these two are different measures arrived at by different means. Investors typically determine if Neuberger Berman is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Neuberger Berman'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.
By borrowing funds, the firm incurs a debt that must be paid. But, this debt is paid in small installments over a relatively long period of time. This frees funds for more immediate use in the stock market. For example, suppose a company can afford a new factory but will be left with negligible free cash. In that case, it may be better to finance the factory and spend the cash on hand on inputs, labor, or even hold a significant portion as a reserve against unforeseen circumstances.

The Risk of Financial Leverage

The most obvious and apparent risk of leverage is that if price changes unexpectedly, the leveraged position can lead to severe losses. For example, imagine a hedge fund seeded by $50 worth of investor money. The hedge fund borrows another $50 and buys an asset worth $100, leading to a leverage ratio of 2:1. For the investor, this is neither good nor bad -- until the asset price changes. If the asset price goes up 10 percent, the investor earns $10 on $50 of capital, a net gain of 20 percent, and is very pleased with the increased gains from the leverage. However, if the asset price crashes unexpectedly, say by 30 percent, the investor loses $30 on $50 of capital, suffering a 60 percent loss. In other words, the effect of leverage is to increase the volatility of returns and increase the effects of a price change on the asset to the bottom line while increasing the chance for profit as well.