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Nielsen Holdings (Nielsen Holdings) Degree of Financial Leverage : 0.00 (As of Jun. 2022)


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What is Nielsen Holdings Degree of Financial Leverage?

Degree of Financial Leverage (DFL) measures the percentage change in EPS for a unit change in Earnings Before Interest and Taxes (EBIT). Nielsen Holdings's Degree of Financial Leverage for the quarter that ended in Jun. 2022 was 0.00. The higher Degree of Financial Leverage, the more volatile earnings will be.

The industry rank for Nielsen Holdings's Degree of Financial Leverage or its related term are showing as below:

NLSN's Degree of Financial Leverage is not ranked *
in the Business Services industry.
Industry Median: 1.02
* Ranked among companies with meaningful Degree of Financial Leverage only.

Nielsen Holdings Degree of Financial Leverage Historical Data

The historical data trend for Nielsen Holdings's Degree of Financial Leverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Nielsen Holdings Degree of Financial Leverage Chart

Nielsen Holdings Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Degree of Financial Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.67 1.89 0.16 7.51 -1,092.99

Nielsen Holdings Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Degree of Financial Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -7.39 12.66 -1,092.99 -2.88 24.23

Competitive Comparison of Nielsen Holdings's Degree of Financial Leverage

For the Consulting Services subindustry, Nielsen Holdings's Degree of Financial Leverage, along with its competitors' market caps and Degree of Financial Leverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Nielsen Holdings's Degree of Financial Leverage Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Nielsen Holdings's Degree of Financial Leverage distribution charts can be found below:

* The bar in red indicates where Nielsen Holdings's Degree of Financial Leverage falls into.



Nielsen Holdings Degree of Financial Leverage Calculation

Nielsen Holdings's Degree of Financial Leverage for the quarter that ended in Jun. 2022 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( 1.47 (Jun. 2022) / 1.92 (Jun. 2021) - 1 )/( 819 (Jun. 2022) / 827 (Jun. 2021) - 1 )
=-0.2344/-0.0097
=24.23***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of EPS and EBIT was used to calculate Degree of Financial Leverage.
*** Please be aware that the Degree of Financial Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Nielsen Holdings  (NYSE:NLSN) Degree of Financial Leverage Explanation

Degree of Financial Leverage (DFL) is a leverage ratio that measures the sensitivity of a company’s Earnings per Share (EPS) to fluctuations in its operating income, also referred to as Earnings Before Interest and Taxes (EBIT), resulting from adjustments in its capital structure. DFL is an essential tool for companies to assess the appropriate level of debt or financial leverage in their capital structure. When EBIT remains relatively stable, it results in stable earnings and earnings per share. In such cases, the company may consider taking on substantial debt. However, for companies operating in industries with significant fluctuations in EBIT, it is advisable to keep debt at a manageable level.

The higher Degree of Financial Leverage, the more volatile earnings will be. Because interest is a fixed expense, leverage can amplify earnings and EPS. This is beneficial when EBIT is growing, but it can become problematic in tough economic conditions when EBIT is under pressure.

Be Aware

The use of financial leverage varies across different industries and business sectors, and the application of Degree of Financial Leverage (DFL) should be adjusted accordingly.


Nielsen Holdings Degree of Financial Leverage Related Terms

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Nielsen Holdings (Nielsen Holdings) Business Description

Traded in Other Exchanges
N/A
Address
675 Avenue of the Americas, New York, NY, USA, 10010
Nielsen Holdings PLC operates as a media and content ecosystem provider and offers audience measurement, data and analytics services. The company's data is used by its publishing clients to understand their audiences, establish the value of their advertising inventory, and maximize the value of their content. It operates as a complete unit - from the conception of a product, through the collection of the data, into the technology and operations, all the way to the data being sold and delivered to the client. The company's single reportable segment consists of television, radio, online and mobile audience and advertising measurement and corresponding analytics.
Executives
Windacre Partnership Master Fund, Lp 10 percent owner 2200 POST OAK BLVD., SUITE 1580, HOUSTON TX 77056
Windacre Partnership Llc 10 percent owner 2200 POST OAK BOULEVARD, SUITE 1580, HOUSTON TX 77056
Snehal Amin 10 percent owner 2200 POST OAK BLVD., SUITE 1580, HOU TX 77056
Henry Iglesias officer: Principal Accounting Officer TIFFANY & CO., 727 FIFTH AVENUE, NEW YORK NY 10022
Stephanie Plaines director 200 E. RANDOLPH DRIVE, CHICAGO IL 60601
Luca Guerrino De director C/O LOGITECH, INC., 6505 KAISER DRIVE, FREMONT CA 94555
Karthik Rao officer: COO Nielsen Global Media 3200 OLYMPUS BLVD, SUITE 100, DALLAS TX 75019
Jon Miller director C/O TRIPADVISOR, INC, 141 NEEDHAM STREET, NEWTON MA 02464
Attwood James A Jr director 520 MADISON AVENUE, NEW YORK NY 10022
David W Kenny director, officer: Chief Executive Officer VIVAKI, 33 ARCH STREET, BOSTON MA 02110
Thomas H Castro director C/O TIME WARNER CABLE INC., 60 COLUMBUS CIRCLE, 16TH FLOOR, NEW YORK NY 10023
Janice Marinelli Mazza director 4031 LONGRIDGE AVE, SHERMAN OAKS CA 91423
Linda Zukauckas officer: Chief Financial Officer 200 VESEY STREET, NEW YORK NY 10285
Laurie Lovett officer: Chief Human Resources Officer 675 6TH AVENUE, 3RD FLOOR, NEW YORK NY 10011
Christopher Taft officer: SVP & Corporate Controller 442 YELLOW BRICK ROAD, ORANGE CT 06477