Liabilities Breakdown
2.55 Million
Total Liabilities
Current Liabilities
2.32 Million
Liabilities Non Curr
669,475
Tax Liabilities
Will Mexco Energy debt increase in August 2020?
 | By Raphi Shpitalnik | Macroaxis Story |
Mexco Energy current daily volatility is 7.88 percent, with a beta of -0.44 and an alpha of 0.92 over DOW. We estimate Mexco Energy as currently overvalued. The real value is approaching 2.68 per share. Mexco Energy secures a last-minute Real Value of $2.68 per share. The latest price of the firm is $3.1. At this time, the firm appears to be overvalued. Our model forecasts the value of Mexco Energy from analyzing the firm fundamentals such as return on equity of (1.18) %, profit margin of (3.63) %, and current valuation of 7.78 M as well as examining its technical indicators and Probability Of Bankruptcy. In general, we recommend taking in undervalued stocks and trading overvalued stocks since, at some point, asset prices and their ongoing real values will merge together.
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Reviewed by Michael Smolkin
This firm has 834.13 K in debt with debt to equity (D/E) ratio of 0.1, which may show that the firm is not taking advantage of profits from borrowing. The company has 834.13 K in debt with debt to equity (D/E) ratio of 0.1, which may show that Mexco Energy is not taking advantage of profits from borrowing. Mexco Energy has a current ratio of 1.98, which is typical for the industry and considered as normal. We provide buy, hold, or sell recommendation to complement the last-minute expert consensus on Mexco Energy. Our dynamic recommendation engine harnesses a multidimensional algorithm to analyze the entity's potential to grow using all technical and fundamental data available at the time.
Mexco Energy financial leverage ratio helps determine the effect of debt on the overall profitability of the company. It measures the total debt position of Mexco Energy, including all of Mexco 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 Mexco Energy assets, the company is considered highly leveraged. Understanding the composition and structure of overall Mexco 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 Mexco Total Debt
Mexco Energy liabilities are broken down into two parts on the balance sheet. These are short-term (or current) obligations and long-term debt. Mexco 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 Mexco Energy balance sheet include debt obligations and money owed to different Mexco Energy vendors, workers, and loan providers. Below is the chart of Mexco main long-term debt accounts currently reported on its balance sheet. You can use Mexco Energy financial leverage analysis tool to get a better grip on understanding its financial positionHow important is Mexco Energy's Liquidity
Mexco Energy financial leverage refers to using borrowed capital as a funding source to finance Mexco Energy ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Mexco 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. Financial leverage can amplify the potential profits to Mexco Energy'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 Mexco Energy'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 Mexco Energy's total debt and its cash.
Details
Mexco Energy reports 11.60 % probability of bankruptcy. The latest price spikes of Mexco Energy may encourage investors to take a closer look at the firm as it closed today at a share price of 3.1 on 280.00 in trading volume. The company directors and management 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 7.88. The very high volatility is mostly attributed to the latest market swings and not very good earnings reports from some of the Mexco Energy partners. Mexco Energy Earnings Before Interest Taxes and Depreciation Amortization USD is somewhat stable at the moment. Also, Mexco Energy Average Equity is somewhat stable at the moment.
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