The Motley Fool

AUGUST 6, 2023

In his 1988 annual letter to shareholders, Buffett penned that when it comes to owning outstanding businesses with excellent management, "our favorite holding period is forever." As for why Buffett's love grew for Apple, the company returns an incredible amount of capital to its shareholders in the form of dividends and share buybacks.

Stakes 246

Stakes Leveraging Debt Shareholders 246

The Motley Fool

JANUARY 11, 2025

billion of cash to shareholders, including about $4.7 billion), as the company used its strong balance sheet to return more money to shareholders. Even with those additional debt-funded returns, Chevron ended the period with an 11.9% leverage ratio , well below its 20% to 25% target range. billion in dividends.

Leveraging 241

Leveraging Shareholders Assets Debt 241

The Motley Fool

JULY 7, 2023

But shareholders will likely see huge dividend increases when oil prices are high. It also needs to have a sound financial foundation, otherwise cash will have to be put toward debt reduction and interest costs instead of dividend payments. Those European energy companies carry higher levels of debt than U.S.

Debt 246

Debt Leveraging Assets Shareholders 246

The Motley Fool

JUNE 21, 2024

This move, while not directly affecting the value of shareholders' portfolios, opened the door to more investors who lack access to fractional shares and therefore couldn't afford the hefty share price before the split. Nvidia, for example, has a debt-to-equity ratio of just 0.5, The stock is up over 10% since the split.

Debt 243

Debt Shareholders Leveraging Portfolios 243

The Motley Fool

SEPTEMBER 8, 2023

That should enable them to produce more free cash to reduce debt and support their dividends. times leverage ratio , down from 2.7 Verizon plans to continue using its excess free cash to repay debt. The company's long-term target is to get leverage between 1.75 Verizon ended the second quarter with a 2.6

Leveraging 246

Leveraging Debt Shareholders Capital 246

The Motley Fool

AUGUST 17, 2024

The strategy includes investing fresh software-business cash flows into more Bitcoin holdings, taking on new debt, and selling stock on the open market to finance further cryptocurrency buys. The ETFs simply buy and sell Bitcoin to match their shareholders' demand for the cryptocurrency.

Exchange-Traded Funds 241

Exchange-Traded Funds Leveraging Debt Financing 241

The Motley Fool

SEPTEMBER 7, 2023

Invesco S&P 500 Quality ETF: Up 240% over the last decade The Invesco S&P 500 Quality ETF measures the performance of the S&P 500 Quality index, which itself attempts to track the highest-quality S&P 500 companies as measured by three metrics: return on equity (ROE), balance sheet accruals (BSA) ratio, and financial leverage ratio.

Funds 246

Funds Leveraging Shareholders Capital 246

The Motley Fool

MAY 16, 2024

Dividends compensate patient shareholders for enduring the cyclicality of the oil patch. Operating a massive portfolio of green energy assets, Brookfield Renewable has demonstrated a strong commitment to rewarding shareholders, and its 4.8% The energy and utilities sectors are known for their high yields.

Debt 246

Debt Shareholders Investment Horizon Capital 246

The Motley Fool

JULY 28, 2023

Why the stock scares off some investors The debt-to-equity (D/E) ratio of DigitalOcean is a negative 675% due to total debt of $1.47 billion and negative shareholder equity of $217.7 This ratio measures a company's financial leverage. You can calculate it by dividing the company's total debt by shareholder equity.

Debt 245

Debt Amortization Shareholders Depreciation 245

The Motley Fool

OCTOBER 7, 2024

billion of that company's debt. Furthermore, the company is on pace to reach its leverage ratio target of around 2.5 The investment bank believes the company will see improved revenue in the future and could potentially start buying back its shares, given the improvement in its leverage ratio.

Leveraging 246

Leveraging Stakes Investment Banks Investment Banking 246

The Motley Fool

DECEMBER 2, 2023

Between now and then, it'll need to repay more than $6 billion in debt. Even if it devoted 100% of its CFO toward paying down its debt -- which would mean cutting its dividend to zero -- it would still take more than 11 years to fully repay its loans. Refinancing higher-interest-rate debt would be a necessity.

Debt 246

Debt Assets Liabilities Shareholders 246

The Motley Fool

APRIL 27, 2024

Apple has the cash to step in and buy its stock, thereby reducing the share count and giving existing shareholders greater ownership of the company. Granted, it only yields 0.6%, but it's still a massive capital commitment for Apple to its shareholders. billion, while its term debt was $106 billion.

Stock Market 246

Stock Market Stock Market Leveraging Banks 246

The Motley Fool

JULY 17, 2023

Debt and dividends leave AT&T and Verizon vulnerable Because they have paid out such hefty dividends and made the expensive C-band investments, AT&T and Verizon also have larger debt loads. While AT&T was able to offload some of its debt to Warner Bros. Image source: Getty Images. Verizon $152.9 $2.2

Debt 246

Debt Taxes Shareholders Leveraging 246

The Motley Fool

DECEMBER 3, 2024

Leveraging the balance sheet to drive investment returns A franchise network of thousands of pizzerias creates durable cash flows. Domino's has taken advantage of that by strategically using its balance sheet to return money to shareholders. DPZ Financial Debt to EBITDA (TTM) data by YCharts.

Leveraging 246

Leveraging Debt Shareholders Returns 246

The Motley Fool

AUGUST 8, 2024

In short, there's a lot of leverage in the investing world. PubMatic For investors worried about what the global economy might do, it can be a good idea to invest in cash-rich and debt-free companies. It has $174 million in cash with no debt, which is quite substantial for a company that's valued at less than $1 billion.

Debt 246

Debt Shareholders Leveraging Investors 246

The Motley Fool

FEBRUARY 4, 2024

The "ultimate financial measure": F ree cash flow per share In his 2004 letter to Amazon shareholders, Jeff Bezos said (emphasis mine): Our ultimate financial measure, and the one we most want to drive over the long term, is free cash flow per share. Image source: Getty Images. How can investors use this metric?

Shareholders 245

Shareholders Investing Leveraging Stakes 245

The Motley Fool

SEPTEMBER 27, 2023

This is because the company achieved its leverage target last year after five years of paying down debt. The high debt load was the result of its massive $10.3 Since the company brought its debt down to comfortable levels, it has been increasing its payouts to shareholders methodically every quarter.

Shareholders 246

Shareholders Debt Prospects Leveraging 246

The Motley Fool

JULY 30, 2024

The company's debt-to-equity ratio stands at 75%, and it generated operating cash flow of $35 billion over the prior 12 months. Its debt-to-equity ratio also stands at a hefty 144%, indicating that the retailer has a highly leveraged balance sheet. Valuation, shareholder rewards, and outlook Walmart stock trades at 28.9

Debt 244

Debt Leveraging Public Companies Prospects 244

The Motley Fool

DECEMBER 20, 2024

And with ROIC ending 2024 at 11%, comfortably above our cost of capital, we are already delivering long-term value for our shareholders as we lay the foundation we'll build upon in 2025 and beyond. times net debt to EBITDA, closing in on our expectation to reach investment-grade leverage metrics in 2026. We ended 2024 with $27.5

Securities and Exchange Commission (SEC) 246

Securities and Exchange Commission (SEC) Leveraging Debt Assets 246

The Motley Fool

AUGUST 25, 2023

Companies that regularly dole out a dividend to their shareholders tend to be profitable on a recurring basis, are time-tested, and can provide investors with transparent long-term growth outlooks. What this added protection does is allow AGNC to deploy leverage to bolster its profits and sustain its juicy payout. All but $0.1

Debt 246

Debt Initial Public Offering Investing Capital 246

The Motley Fool

AUGUST 5, 2024

In the past, it has over-leveraged and left itself vulnerable to downturns. However, ExxonMobil has improved its balance sheet significantly since then, taking advantage of outsize gains in recent years to pay down debt. Despite its dominant position, ExxonMobil isn't a perfect company. for every dollar in earnings toward the dividend.

Investing 243

Investing Leveraging Debt Prospects 243

The Motley Fool

MARCH 19, 2024

The high-flying AI server specialist filed this morning to sell 2 million shares, diluting existing shareholders by approximately 3.6%. Investors often balk at secondary offerings as they dislike being diluted and prefer companies to fund growth out of profits or debt. Supermicro stock was down 11.1% as of 10:52 a.m.

Leveraging 246

Leveraging Debt Shareholders Capital 246

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. He called her "an extraordinary manager" at Berkshire's 2023 Shareholder meeting in May. Occidental's big investments in the Permian Basin have put pressure on its balance sheet.

Conglomerates 240

Conglomerates Enterprise Values Debt Amortization 240

The Motley Fool

JULY 12, 2023

Meanwhile, it pays out a reasonable percentage of that stable cash flow to shareholders in dividends (60% to 70%). leverage ratio , putting it at the low end of its 4.5-5.0 The natural gas infrastructure giant pays out a conservative portion of that steady cash to shareholders (its dividend payout ratio should be around 53% of its $4.8

Leveraging 245

Leveraging Shareholders Debt Funds 245

The Motley Fool

DECEMBER 6, 2023

Companies that pay dividends display a commitment to shareholders and tend to have prudent capital management. dividend yield The Blackstone Secured Lending Fund is a business development corporation ( BDC ) that invests in private company debt to generate income for dividend-focused investors. Ares Capital has a 9.7%

Investors 246

Investors Collateral Mergers and Acquisitions Initial Public Offering 246

The Motley Fool

MAY 12, 2024

Over the next several years, the company expects to free up another $1 billion in annual free cash flow due to cost savings related to its midstream and downstream assets, plus reductions to its total debt levels. Over the past decade, oil prices have fallen by around 18%, yet Chevron stock has risen by nearly 100%.

Stakes 246

Stakes Shareholders Assets Leveraging 246

The Motley Fool

JANUARY 1, 2024

Here are three reasons why the future looks bright for Kraft Heinz and its shareholders in 2024 and beyond. However, the merger also loaded up the new entity with debt. Below, the merger more than tripled the company's debt to over $30 billion. But management has brought leverage down to 2.9 Is it stubbornness?

Mergers and Acquisitions 245

Mergers and Acquisitions Debt Conglomerates Amortization 245

The Motley Fool

FEBRUARY 1, 2024

Companies that regularly dole out a dividend to their shareholders are often profitable on a recurring basis, time-tested, and capable of offering transparent, long-term growth guidance. Since March 31, 2022, AT&T's net debt has declined from $169 billion to $128.9 million in net debt, its net-leverage ratio is a modest 0.31.

Debt 246

Debt Investing Liabilities Private Companies 246

The Motley Fool

NOVEMBER 30, 2023

Though a 15% yield is typically viewed as unsustainable for most companies, Annaly has supported an average yield of around 10% over the past two decades and returned $25 billion to shareholders since its initial public offering in 1997. This leverage allows Annaly to maximize its profit potential and sustain a double-digit yield.

Debt 240

Debt Initial Public Offering Leveraging Capital 240

Private Equity Insights

SEPTEMBER 13, 2023

Private credit has become an integral part of the financing solutions available to support corporate growth and there is an increasing demand for debt capital from well-established and high-growth software and technology businesses, which typically have leading market positions, resilient customer base and strong financial fundamentals.”

Capital 246

Capital Investing Private Equity Firms Private Equity Firms 246

The Motley Fool

SEPTEMBER 10, 2023

Income that's leverage to rising oil prices Reuben Gregg Brewer (Pioneer Natural Resources): Unlike most companies, Pioneer Natural Resources has a variable dividend policy. The stock has followed along, which is a net benefit for shareholders, of course. That will give it more money to return to shareholders. per share).

Shareholders 243

Shareholders Debt Leveraging Stakes 243

The Motley Fool

AUGUST 1, 2023

These are stocks that pay out a large percentage of their earnings to shareholders in the form of dividends. Some may have unsustainable payouts, declining businesses, or high debt levels that could jeopardize their dividends in the future. AbbVie has a solid track record of rewarding its shareholders with dividends.

Debt 246

Debt Shareholders Leveraging Accounting 246

The Motley Fool

JANUARY 5, 2024

The bank reduced managerial layers from 13 to eight, eliminated 60 committees, shut down many foreign business units (including its global distressed-debt operations), and is now in the process of shedding thousands of positions, many of which are high-cost executive roles. Banks typically use debt, or leverage, to boost those returns.

Banks 245

Banks Leveraging Buyout Debt 245

The Motley Fool

MARCH 20, 2024

Over the past few years, high commodity prices have padded ExxonMobil's pockets with cash, reinforcing a massive balance sheet with nearly $400 billion in assets versus just $6 billion in net debt. The company's success stems from astute management that doesn't let the balance sheet take on too much debt.

Debt 246

Debt Leveraging Prospects Shareholders 246

The Motley Fool

OCTOBER 12, 2024

The company had to cut its distribution in half in the fall of 2020 after it had gotten over its skis with its debt and needed to reduce its leverage. The sell case for Energy Transfer While Energy Transfer has newfound discipline, that hasn't always been the case.

Enterprise Values 246

Enterprise Values Shareholders Leveraging Debt 246

The Motley Fool

JUNE 16, 2023

Basically, through thick and thin, the MLP has made sure that its shareholders receive a steady and growing quarterly disbursement. For example, its ratio of debt to EBITDA ( earnings before interest, taxes, depreciation, and amortization ) is generally among the lowest of its closest peer group. That isn't the only thing to consider.

Mergers and Acquisitions 246

Mergers and Acquisitions Debt Amortization Depreciation 246

The Motley Fool

JANUARY 5, 2024

The company specializes in an instrument called venture debt -- or loans made at high interest rates. For this reason, once the start-up reaches a maturity point generating consistent cash flow, it may seek out alternative financing options like debt. Hercules Capital: 11.5% Horizon Technology Finance: 9.9%

Mergers and Acquisitions 246

Mergers and Acquisitions Leveraged Buyouts Due Diligence Portfolios 246