Ohmyhome Limited Current Debt

OMH Stock   0.38  0.01  2.56%   
As of now, Ohmyhome Limited's Debt Equity Ratio is increasing as compared to previous years. With a high degree of financial leverage come high-interest payments, which usually reduce Ohmyhome Limited's Earnings Per Share (EPS).
 
Debt Ratio  
First Reported
2010-12-31
Previous Quarter
0.05414077
Current Value
0.0514
Quarterly Volatility
1.23040901
 
Credit Downgrade
 
Yuan Drop
 
Covid
As of now, Ohmyhome Limited's Liabilities And Stockholders Equity is increasing as compared to previous years. The Ohmyhome Limited's current Non Current Liabilities Total is estimated to increase to about 3.8 M, while Total Current Liabilities is projected to decrease to under 2.3 M.
  
Check out the analysis of Ohmyhome Limited Fundamentals Over Time.

Ohmyhome Limited Financial Rating

Ohmyhome Limited Ordinary financial ratings play a critical role in determining how much Ohmyhome Limited 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 Ohmyhome Limited's borrowing costs.
Piotroski F Score
3
FrailView
Beneish M Score
(2.98)
Unlikely ManipulatorView

Ohmyhome Limited Total Assets Over Time

Ohmyhome Limited Assets Financed by Debt

The debt-to-assets ratio shows the degree to which Ohmyhome Limited 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.

Ohmyhome Limited Debt Ratio

    
  5.14   
It feels like most of the Ohmyhome Limited's assets are financed through equity. Typically, companies with high debt-to-asset ratios are said to be highly leveraged. The higher the ratio, the greater risk will be associated with the Ohmyhome Limited's operation. In addition, a high debt-to-assets ratio may indicate a low borrowing capacity of Ohmyhome Limited, which in turn will lower the firm's financial flexibility.

Ohmyhome Short Long Term Debt Total

Short Long Term Debt Total

1.63 Million

As of now, Ohmyhome Limited's Short and Long Term Debt Total is decreasing as compared to previous years.

Understaning Ohmyhome Limited Use of Financial Leverage

Understanding the composition and structure of Ohmyhome Limited'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 Ohmyhome Limited'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
Short and Long Term Debt TotalM1.6 M
Net Debt821.6 K780.6 K
Long Term Debt226.2 K214.9 K
Short and Long Term Debt331.5 K315 K
Short Term Debt674.5 K640.8 K
Net Debt To EBITDA(0.16)(0.17)
Debt To Equity 0.13  0.13 
Interest Debt Per Share 0.03  0.03 
Debt To Assets 0.05  0.05 
Long Term Debt To Capitalization 0.05  0.05 
Total Debt To Capitalization 0.11  0.11 
Debt Equity Ratio 0.13  0.13 
Debt Ratio 0.05  0.05 
Cash Flow To Debt Ratio(8.70)(8.27)
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Currently Active Assets on Macroaxis

When determining whether Ohmyhome Limited Ordinary offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Ohmyhome Limited'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 Ohmyhome Limited Ordinary Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Ohmyhome Limited Ordinary Stock:
Check out the analysis of Ohmyhome Limited Fundamentals Over Time.
You can also try the Positions Ratings module to determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Is Real Estate Management & Development 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 Ohmyhome Limited. If investors know Ohmyhome 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 Ohmyhome Limited listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share
(0.22)
Revenue Per Share
0.379
Quarterly Revenue Growth
1.063
Return On Assets
(0.36)
Return On Equity
(0.82)
The market value of Ohmyhome Limited Ordinary is measured differently than its book value, which is the value of Ohmyhome that is recorded on the company's balance sheet. Investors also form their own opinion of Ohmyhome Limited's value that differs from its market value or its book value, called intrinsic value, which is Ohmyhome Limited'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 Ohmyhome Limited's market value can be influenced by many factors that don't directly affect Ohmyhome Limited'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 Ohmyhome Limited's value and its price as these two are different measures arrived at by different means. Investors typically determine if Ohmyhome Limited is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Ohmyhome Limited'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.