The Motley Fool

SEPTEMBER 19, 2024

It's trading for 26 times trailing earnings, and given its debt-bloated balance sheet, that multiple jumps to nearly 60 if you swap out market cap for enterprise value as the numerator. Carnival and its peers had to load up on debt at high rates or sell new shares at low prices to stay afloat. cruise was able to set sail.

Enterprise Values 245

Enterprise Values Debt Taxes Leveraging 245

The Motley Fool

FEBRUARY 12, 2024

The company now holds a significant amount of debt. Management plans to divest non-core assets to accelerate the paydown of that debt. Shares currently trade for an enterprise value/earnings before interest, taxes, depreciation, and amortization (EV/ EBITDA ) multiple of just 5x. By comparison, Chevron trades for a 6.6x

Conglomerates 240

Conglomerates Enterprise Values Debt Earnings Before Interest 240

The Motley Fool

DECEMBER 29, 2023

That marked the first time its total cash and BTC holdings exceeded its total debt. Marathon's revenues are soaring, but it isn't consistently profitable on a generally accepted accounting principles ( GAAP ) basis, and it's taking on a lot of debt to expand its mining operations. With an enterprise value of $6.1

Enterprise Values 245

Enterprise Values Debt Leveraging Accounting 245

The Motley Fool

NOVEMBER 20, 2024

Microstrategy (NASDAQ: MSTR) continues its incredible run as the company sells more debt and equity to buy more Bitcoin (CRYPTO: BTC). As Microstrategy becomes a pure Bitcoin play, if the enterprise value of the company exceeds the value of the Bitcoin on the balance sheet, it will issue shares to buy Bitcoin.

Enterprise Values 188

Enterprise Values Leveraging Debt Returns 188

The Motley Fool

APRIL 4, 2024

This is important for investors because it allows the company to pay out its distribution while still being able to pay down debt. When Energy Transfer cut its distribution in 2020, it was because its leverage became too high, and it needed to pay down debt. cents is now higher than the 30.5

Enterprise Values 189

Enterprise Values Depreciation Leveraging Debt 189

The Motley Fool

OCTOBER 13, 2023

However, its high debt-to-equity ratio of 2.9 That stock offering won't increase its leverage, but it will cause significant dilution for a company with an enterprise value of only $1.4 It secured a new $150 million revolving credit facility back in late July to broaden its safety net.

Enterprise Values 246

Enterprise Values Leveraging Earnings Before Interest Amortization 246

The Motley Fool

OCTOBER 12, 2024

At the same time, Energy Transfer continues to trade at a forward enterprise-value -to- EBITDA multiple of 8 times based on 2025 estimates, which is well below historical levels, not to mention one of the lowest valuations in the MLP space. Its second-quarter results reported a distribution coverage ratio of over 1.8

Enterprise Values 246

Enterprise Values Shareholders Leveraging Debt 246

The Motley Fool

NOVEMBER 10, 2024

Management expects to generate about $80 billion in additional capacity for investments and shareholder returns through 2027 by maintaining its current leverage ratio and growing its earnings before interest, taxes, depreciation, and amortization (EBITDA). They're still working to pay down debt, which eats up a lot of cash flow.

Shareholders 234

Shareholders Returns Capital Taxes 234

The Motley Fool

MARCH 25, 2024

The company will remain unprofitable on a generally accepted accounting principles ( GAAP ) basis, but it's still shouldering $194 million in long-term debt while holding just $33 million in cash and equivalents on its balance sheet at the end of 2023. Analysts expect revenue to rise 31% in 2024 only for it slow to 13% in 2025. stock headed?

Mergers and Acquisitions 242

Mergers and Acquisitions Investing Enterprise Values Earnings Before Interest 242

The Motley Fool

JUNE 26, 2024

Low historic industry valuations Between 2011 to 2016, midstream companies on average traded at an enterprise value (EV) -to- EBITDA (earnings before interest, taxes, depreciation, and amortization) multiple of over 13.5 Today, multiples throughout the industry are much lower.

Depreciation 246

Depreciation Enterprise Values Earnings Before Interest Amortization 246

The Motley Fool

OCTOBER 8, 2023

Lastly, it continued to rack up steep losses while increasing its leverage with more convertible debt offerings. With an enterprise value of $17.5 Second, it issued several safety-related recalls. All of those weaknesses made it an easy target for the bears in a high interest rate environment.

Portfolios 246

Portfolios Enterprise Values Leveraging Debt 246

The Motley Fool

APRIL 2, 2024

The analyst retained a buy rating on the stock and raised the price target to $425 from $400 following the announcement to buy SRS Distribution for an enterprise value, or EV, (market cap plus net debt) of $18.25 times EBITDAR and adjusted debt to $55 billion to $69 billion; this looks manageable. It generated $1.1

Enterprise Values 130

Enterprise Values Debt Earnings Before Interest Amortization 130

The Motley Fool

SEPTEMBER 19, 2023

With an enterprise value of $50 billion, Atlassian doesn't seem cheap at 13 times this year's sales. Investors should also recall that Atlassian is still unprofitable on the basis of generally accepted accounting principles ( GAAP ) and has an alarmingly high debt-to-equity ratio of 5.3.

Enterprise Values 243

Enterprise Values Leveraging Debt Accounting 243

The Motley Fool

MAY 19, 2024

It took some of that cash and bought back about $150 million in debt. Without reducing debt any further, the company is on track to get to 3 times leverage (net debt/adjusted EBITDA) by year end. Image source: Getty Images. This is something I firmly believe.

Enterprise Values 130

Enterprise Values Leveraging Debt Prospects 130

The Motley Fool

AUGUST 20, 2024

It also turned unprofitable in both years and took on more debt to stay solvent. That rising leverage made Carnival a risky stock to hold as interest rates rose, and its stock sank to a 30-year low of $6.38 With an enterprise value of $46.6 Carnival's debt load is worrisome, but it already prepaid $6.6

Enterprise Values 130

Enterprise Values Debt Leveraging Earnings Before Interest 130

The Motley Fool

APRIL 19, 2024

I consider Enterprise's distribution extremely safe. The two biggest areas to look at when it comes to dividend safety are its distribution coverage ratio and leverage ratio. On that front, Enterprise had a robust 1.7x When the leverage at companies gets too high, there's a risk they may cut their dividend.

Enterprise Values 130

Enterprise Values Depreciation Leveraging Earnings Before Interest 130

The Motley Fool

SEPTEMBER 20, 2023

And they paid for this growth with debt, promising to become profitable someday when necessary. For perspective, its enterprise value is just $6.2 In recent months, management lowered guidance, the company decreased its dividend, Advance was removed from the S&P 500 , and S&P Global Ratings downgraded its debt.

Leveraging 242

Leveraging Enterprise Values Shareholders Earnings Before Interest 242

The Motley Fool

NOVEMBER 5, 2024

Unfortunately, the price of oil has dropped considerably during the past six months, putting Occidental in a precarious position considering the amount of debt it took on to make the CrownRock acquisition. Its leveraged exposure to oil production has pushed down Occidental's share price to levels it hasn't seen since the beginning of 2022.

Banks 246

Banks Stakes Enterprise Values Earnings Before Interest 246

The Motley Fool

SEPTEMBER 6, 2023

An elevated leverage ratio led the master limited partnership (MLP) to slash its distribution to retain more cash for debt reduction in 2020. However, as leverage improved, the company's priority shifted back to rebuilding its payout. With an enterprise value (EV) of $98.5 billion and $13.4 billion for 2023.

Leveraging 130

Leveraging Enterprise Values Debt Capital 130

The Motley Fool

OCTOBER 17, 2024

The company's balance sheet is currently in good shape, with leverage (as used by rating agencies) toward the low end of its 4x to 4.5x Typically, investors value midstream companies using an enterprise-value -to-EBITDA (EV/EBITDA) multiple. target range. times distribution coverage ratio in the second quarter.

Enterprise Values 130

Enterprise Values Depreciation Earnings Before Interest Amortization 130

The Motley Fool

SEPTEMBER 21, 2023

It recently announced it was buying PFSweb for $181 million, or an enterprise value of $142 million, which includes the company's cash balance of $39 million. The company continues to focus on paying down debt to position itself for other acquisitions. Now, GXO has made another promising deal. A robot in a GXO warehouse.

Enterprise Values 130

Enterprise Values Leveraging Earnings Before Interest Amortization 130

The Motley Fool

DECEMBER 14, 2024

billion in debt. That brought its net debt to $10.6 It expects to use $700 million of that to reduce debt and bring its leverage down to 3.6 Free cash flow, meanwhile, will be used to pay down debt, pay a dividend, and buy back shares. That should create value over time. billion at the end of September.

Debt 130

Debt Enterprise Values Leveraging Companies 130

The Motley Fool

DECEMBER 2, 2024

Enterprise's consistency stems from its largely fee-based model, where the company only takes on minimal commodity or spread risk. Meanwhile, it has historically been conservative with its leverage, distribution coverage ratio, and growth capital expenditure (capex) spending. Currently, the stock carries a forward yield of about 6.2%.

Debt 130

Debt Enterprise Values Depreciation Assets 130

The Motley Fool

JANUARY 23, 2024

At its peak, Nio's enterprise value reached $91.4 But as of this writing, Nio trades at about $6 per share with an enterprise value of $12.1 That's a grim outlook for a company that ended its latest quarter with a high debt-to-equity ratio of 5.2. The Chinese electric vehicle (EV) maker went public at $6.28

Enterprise Values 130

Enterprise Values Debt Leveraging Returns 130

The Motley Fool

MAY 29, 2024

The company generates a lot of cash flow, and has historically taken a conservative posture with leverage , which is also why it has been able to consistently increase its distribution. Leverage currently stand at 3, which is low for the midstream industry. Enterprise currently has a robust forward yield of 7.2%

Leveraging 130

Leveraging Taxes Enterprise Values Debt 130

The Motley Fool

MAY 29, 2024

The company generates a lot of cash flow, and has historically taken a conservative posture with leverage , which is also why it has been able to consistently increase its distribution. Leverage currently stand at 3, which is low for the midstream industry. Enterprise currently has a robust forward yield of 7.2%

Leveraging 130

Leveraging Taxes Enterprise Values Debt 130

The Motley Fool

SEPTEMBER 29, 2024

Qualcomm also generates most of its profits from its higher-margin licensing business, which leverages its massive portfolio of wireless patents to squeeze royalties and licensing fees from every smartphone sold worldwide (including those that don't use Qualcomm's SoCs). It has an enterprise value of nearly $190 billion with 1.1

Investors 130

Investors Enterprise Values Buyout Bidding 130

The Motley Fool

JANUARY 20, 2024

That's nearly half of MicroStrategy's current enterprise value of $9.7 billion in long-term debt and a debt-to-equity ratio of 3. But its enterprise value is getting a bit overheated at 19 times this year's sales. As a result, its Bitcoin holdings swelled from $250 million to $4.7

Enterprise Values 130

Enterprise Values Initial Public Offering Bidding Debt 130

The Motley Fool

JANUARY 14, 2024

It is the new debt that has been created from the acquisition. The deal was a mixture of cash and stock, with an enterprise value of $5.6 billion, including the assumption of debt. The company's debt-to-equity ratio rose from around 0.6 times thanks to the debt it took on to close the Hostess transaction.

Investors 130

Investors Debt Enterprise Values Leveraging 130

Private Equity Professional

OCTOBER 16, 2024

Centerbridge invests between $50 million and $300 million in US-based leveraged buyouts and distressed securities. Pine Island makes control equity, minority equity, and structured equity investments of $30 million to $250 million in US and Canadian-based companies with enterprise values ranging from $50 million to $500 million.

Leveraged Buyouts 130

Leveraged Buyouts Enterprise Values Buyout Leveraging 130

The Motley Fool

AUGUST 3, 2024

It ended the quarter with leverage of 3 times. It defines leverage as net debt adjusted for equity credit in junior subordinated notes (hybrids) divided by adjusted EBITDA. This leverage is considered low in the midstream space given the strong cash flow these companies generate. It had a distribution-coverage ratio of 1.6

Depreciation 130

Depreciation Leveraging Enterprise Values Earnings Before Interest 130

The Motley Fool

JUNE 18, 2023

government reached a deal to increase the federal debt limit, many student loan borrowers were caught by surprise. Additionally, Carnival also took on a massive amount of debt to raise even more cash. CCL Enterprise Value data by YCharts Carnival simply isn't as cheap as it looks. trillion in loans they owe.

Enterprise Values 130

Enterprise Values Debt Leveraging Financial Services 130

The Motley Fool

SEPTEMBER 30, 2024

billion and boost its debt-to-equity ratio to 1.2. Its enterprise value of $2.5 It ended its latest quarter with just $243 million in cash and equivalents, and its high debt-to-equity ratio of 3.3 That lifeline will keep Plug Power's business alive, but it will also roughly double its total liabilities to $3.45

Enterprise Values 130

Enterprise Values Liabilities Debt Leveraging 130

The Motley Fool

JUNE 29, 2024

billion in net debt on its balance sheet, generating cash flow and lowering that debt will be important. From a valuation perspective, the company trades at a forward price-to-earnings (P/E) ratio of about 17 and a forward enterprise value (EV) -to-EBITDA multiple of about 9. It reported adjusted free cash flow of $1.3

Depreciation 130

Depreciation Debt Enterprise Values Earnings Before Interest 130

The Motley Fool

FEBRUARY 13, 2024

Does it make sense to take on debt to buy a company in a declining market? billion acquisition, at a 38% premium to the share price before the announcement, with Owens Corning taking on $3 billion in debt financing. The deal values Masonite at an enterprise value (market cap plus net debt) of 8.6

Debt 130

Debt Enterprise Values Earnings Before Interest Amortization 130

The Motley Fool

MAY 21, 2024

times average enterprise value (EV) -to- EBITDA multiple between 2011 and 2016, while today most midstream stocks trade at under a 10 times multiple. EV/EBITDA tends to be the most used metric to value midstream companies, as it takes into consideration their debt positions and takes out non-cash expenses.

Leveraging 130

Leveraging Enterprise Values Debt Returns 130

The Motley Fool

APRIL 17, 2024

Its earnings growth has also helped drive down its leverage ratio , which it expects will be toward the low end of its 4.0-4.5 That lower leverage recently gave two credit rating agencies the confidence to upgrade Energy Transfer's credit rating to BBB with a stable outlook. billion) to pay down debt and repurchase units.

Leveraging 130

Leveraging Enterprise Values Taxes Earnings Before Interest 130