Contura Story

Continue to hold Contura (NYSE:CTRA) based on its current debt obligations?
Contura Energy financial leverage ratio helps determine the effect of debt on the overall profitability of the company. It measures the total debt position of Contura Energy, including all of Contura Energy's outstanding debt obligations, and compares it with the equity. In simple terms, the high financial leverage means the cost of production, together with running the business day-to-day, is high, whereas, lower financial leverage implies lower fixed cost investment in the business and generally considered by investors to be a good sign. So if creditors own a majority of Contura Energy assets, the company is considered highly leveraged. Understanding the composition and structure of overall Contura Energy debt and outstanding corporate bonds gives a good idea of how risky the capital structure of a business is and if it is worth investing in it. Please read more on our technical analysis page.

Understanding Contura Total Debt

Contura Energy liabilities are broken down into two parts on the balance sheet. These are short-term (or current) obligations and long-term debt. Contura Energy has to fulfill its short-term liabilities in this reporting year and should be no more than 12 months old. Long-term debt, on the other hand, is anything beyond the 12-month payment timeframe. Common short-term liabilities found on Contura Energy balance sheet include debt obligations and money owed to different Contura Energy vendors, workers, and loan providers. Below is the chart of Contura main long-term debt accounts currently reported on its balance sheet. You can use Contura Energy financial leverage analysis tool to get a better grip on understanding its financial position

How important is Contura Energy's Liquidity

Contura Energy financial leverage refers to using borrowed capital as a funding source to finance Contura Energy ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Contura Energy financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between Contura Energy's total debt and its cash.

Payment of 612 shares by Horn Daniel E of Contura Energy subject to Rule 16b-3

Legal trades by Contura Energy insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:

Contura insider trading alert for payment of common stock $0.01 par value per share by Horn Daniel E, Executive Vice President-Sales, on 28th of December 2020. This event was filed by Contura Energy Inc with SEC on 2020-12-28. Statement of changes in beneficial ownership - SEC Form 4 [view details]

Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

Detailed Outlook On Contura Energy

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