CIMG Current Debt
IMG Stock | 0.83 0.15 22.06% |
The current Long Term Debt is estimated to decrease to 4,057. The current Short and Long Term Debt is estimated to decrease to 4,064. CIMG's financial risk is the risk to CIMG stockholders that is caused by an increase in debt.
At this time, CIMG's Non Current Liabilities Total is most likely to decrease significantly in the upcoming years. The CIMG's current Non Current Liabilities Other is estimated to increase to about 55.5 K, while Total Current Liabilities is projected to decrease to roughly 1.8 M. CIMG |
CIMG Financial Rating
CIMG Inc financial ratings play a critical role in determining how much CIMG 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 CIMG's borrowing costs.Piotroski F Score | 1 | Very Weak | View |
Beneish M Score | (6.29) | Unlikely Manipulator | View |
CIMG Total Assets Over Time
CIMG Assets Financed by Debt
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 CIMG's operation. In addition, a high debt-to-assets ratio may indicate a low borrowing capacity of CIMG, which in turn will lower the firm's financial flexibility.CIMG Long Term Debt
Long Term Debt |
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Understaning CIMG Use of Financial Leverage
CIMG's financial leverage ratio helps determine the effect of debt on the overall profitability of the company. It measures CIMG's total debt position, including all outstanding debt obligations, and compares it with CIMG's equity. Financial leverage can amplify the potential profits to CIMG's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if CIMG is unable to cover its debt costs.
Last Reported | Projected for Next Year | ||
Long Term Debt | 4.3 K | 4.1 K | |
Short and Long Term Debt | 4.3 K | 4.1 K |
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When determining whether CIMG Inc is a strong investment it is important to analyze CIMG's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact CIMG's future performance. For an informed investment choice regarding CIMG Stock, refer to the following important reports:Check out the analysis of CIMG Fundamentals Over Time. You can also try the Portfolio Analyzer module to portfolio analysis module that provides access to portfolio diagnostics and optimization engine.
Is Retail 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 CIMG. If investors know CIMG 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 CIMG listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (7.25) | Revenue Per Share 3.152 | Quarterly Revenue Growth 0.369 | Return On Assets (1.14) | Return On Equity (3.81) |
The market value of CIMG Inc is measured differently than its book value, which is the value of CIMG that is recorded on the company's balance sheet. Investors also form their own opinion of CIMG's value that differs from its market value or its book value, called intrinsic value, which is CIMG'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 CIMG's market value can be influenced by many factors that don't directly affect CIMG'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 CIMG's value and its price as these two are different measures arrived at by different means. Investors typically determine if CIMG is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, CIMG'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.