This firm has 58.58
M in debt with debt to equity (D/E) ratio of 1.06, which is OK given its current industry classification. The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Hamilton Beach has an asset utilization ratio of 164.46 percent. This suggests that the company is making $1.64 for each dollar of assets. An increasing asset utilization means that Hamilton Beach Brands is more efficient with each dollar of assets it utilizes for everyday operations.
Hamilton Beach financial leverage ratio helps determine the effect of debt on the overall profitability of the company. It measures the total debt position of Hamilton Beach, including all of Hamilton Beach'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 Hamilton Beach assets, the company is considered highly leveraged. Understanding the
composition and structure of overall Hamilton Beach 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 Hamilton Total Debt
Hamilton Beach Brands liabilities are broken down into two parts on the balance sheet. These are short-term (or current) obligations and long-term debt. Hamilton Beach Brands 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 Hamilton Beach balance sheet include debt obligations and money owed to different Hamilton Beach vendors, workers, and loan providers. Below is the chart of Hamilton main long-term debt accounts currently reported on its balance sheet.
You can use Hamilton Beach Brands
financial leverage analysis tool to get a better grip on understanding its financial position
How important is Hamilton Beach's Liquidity
Hamilton Beach
financial leverage refers to using borrowed capital as a funding source to finance Hamilton Beach Brands ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Hamilton Beach 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. Financial leverage can amplify the potential profits to Hamilton Beach's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Hamilton Beach's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the
breakdown between Hamilton Beach's total debt and its cash.
Breaking down Hamilton Beach Further
The latest price spikes of Hamilton Beach may raise some interest from investors. The stock closed today at a share price of
11.7 on
566,537 in trading volume. The company executives may have good odds in positioning the firm resources to exploit market volatility in
August. The stock standard deviation of daily returns for 30 days investing horizon is currently 7.59. The very high volatility is mostly attributed to the latest market swings and not very good earnings reports from some of the Hamilton Beach Brands partners.
Asset Breakdown
| Total Assets | 342.65 Million |
| Current Assets | 285.09 Million |
| Assets Non Current | 48.92 Million |
| Goodwill | 10.06 Million |
| Tax Assets | 3.95 Million |
Our perspective of the current Hamilton Beach build-up
Current standard deviation is at 7.52. As of the 25th of July, Hamilton Beach retains the Downside Deviation of 4.89,
market risk adjusted performance of 0.3976, and Risk Adjusted Performance of 0.152. Hamilton Beach
technical analysis makes it possible for you to employ
historical prices and volume momentum with the intention to determine a pattern that calculates the direction of the firm's future prices. Simply put, you can use this information to find out if the firm will indeed mirror its model of historical price patterns, or the prices will eventually revert. We were able to break down and interpolate nineteen
technical drivers for Hamilton Beach Brands, which can be compared to its competitors. Please check out
Hamilton Beach Brands maximum drawdown,
semi variance, and the
relationship between the
jensen alpha and
potential upside to decide if Hamilton Beach is priced fairly, providing market reflects its last-minute price of 14.58 per share. Given that Hamilton Beach Brands has
jensen alpha of 0.3687, we strongly advise you to confirm Hamilton Beach Brands's regular market performance to make sure the company can sustain itself at a future point.
The Current Takeaway on Hamilton Beach Investment
Whereas some other companies under the consumer electronics industry are still a bit expensive, Hamilton Beach may offer a potential longer-term growth to investors. While some investors may not share our view we believe that the current risk-reward utility is not appealing enough to do any trading. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Hamilton Beach.
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Raphi Shpitalnik is a Junior Member of Macroaxis Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time basis at the beginning of the pandemic and eventually acquired a real taste for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Hamilton Beach Brands. Please refer to our
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