ASX:TMZ Historical Debt Nov 23rd 17
Is TMZ’s level of debt at an acceptable level?
TMZ’s level of debt is low relative to its total equity, at 2.30%. TMZ is not taking on too much debt commitment, which may be constraining for future growth. Investors’ risk associated with debt is virtually non-existent with TMZ, and the company has plenty of headroom and ability to raise debt should it need to in the future.
Next Steps:
Are you a shareholder? TMZ has demonstrated its ability to generate sufficient levels of cash flow, while its debt hovers at a safe level. Furthermore, the company exhibits an ability to meet its near term obligations should an adverse event occur. Moving forward, TMZ’s financial situation may change. I suggest researching market expectations for TMZ’s future growth on our free analysis platform.
Are you a potential investor? Although TMZ’s debt level is relatively low, it has the ability to efficiently utilise its borrowings to generate ample cash flow coverage. Furthermore, its high liquidity ensures the company will continue to operate smoothly should unfavourable circumstances arise. To gain more conviction in the stock, you need to also analyse TMZ’s track record. As a following step, you should take a look at TMZ’s past performance analysis on our free platform to conclude on TMZ’s financial health.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.