ASX:KIS Historical Debt Dec 22nd 17
Does KIS face the risk of succumbing to its debt-load?
KIS’s level of debt is appropriate relative to its total equity, at 10.00%. KIS is not taking on too much debt commitment, which can be restrictive and risky for equity-holders. KIS’s risk around capital structure is low, and the company has the headroom and ability to raise debt should it need to in the future.
Next Steps:
Are you a shareholder? KIS’s low debt is also met with low coverage. This indicates room for improvement as its cash flow covers less than a quarter of its borrowings, which means its operating efficiency could be better. However, the company exhibits an ability to meet its near term obligations should an adverse event occur. Given that its financial position may change. You should always be researching market expectations for KIS’s future growth on our free analysis platform.
Are you a potential investor? KIS’s low-debt position gives it headroom for future growth funding in the future. 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 further examine the company’s track record. As a following step, you should take a look at KIS’s past performance analysis on our free platform to conclude on KIS’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.