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Strategic Realty Trust (Strategic Realty Trust) Degree of Financial Leverage : 0.98 (As of Mar. 2024)


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What is Strategic Realty Trust 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). Strategic Realty Trust's Degree of Financial Leverage for the quarter that ended in Mar. 2024 was 0.98. The higher Degree of Financial Leverage, the more volatile earnings will be.

The industry rank for Strategic Realty Trust's Degree of Financial Leverage or its related term are showing as below:

SGIC's Degree of Financial Leverage is ranked better than
59.62% of 676 companies
in the REITs industry
Industry Median: 1.085 vs SGIC: 0.98

Strategic Realty Trust Degree of Financial Leverage Historical Data

The historical data trend for Strategic Realty Trust'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.

Strategic Realty Trust Degree of Financial Leverage Chart

Strategic Realty Trust Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Degree of Financial Leverage
Get a 7-Day Free Trial 0.31 1.08 7.34 0.86 4.70

Strategic Realty Trust Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Mar24
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 4.70 33.41 0.86 0.88 0.98

Competitive Comparison of Strategic Realty Trust's Degree of Financial Leverage

For the REIT - Retail subindustry, Strategic Realty Trust'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.


Strategic Realty Trust's Degree of Financial Leverage Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Strategic Realty Trust's Degree of Financial Leverage distribution charts can be found below:

* The bar in red indicates where Strategic Realty Trust's Degree of Financial Leverage falls into.



Strategic Realty Trust Degree of Financial Leverage Calculation

Strategic Realty Trust's Degree of Financial Leverage for the quarter that ended in Mar. 2024 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( -0.06 (Mar. 2024) / -1.07 (Mar. 2023) - 1 )/( -0.341 (Mar. 2024) / -9.85 (Mar. 2023) - 1 )
=-0.9439/-0.9654
=0.98***

* 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.


Strategic Realty Trust  (OTCPK:SGIC) 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.


Strategic Realty Trust Degree of Financial Leverage Related Terms

Thank you for viewing the detailed overview of Strategic Realty Trust's Degree of Financial Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Strategic Realty Trust (Strategic Realty Trust) Business Description

Traded in Other Exchanges
N/A
Address
550 W Adams S, Suite 200, Chicago, IL, USA, 60661
Strategic Realty Trust Inc is a real estate investment trust that invests and manages a portfolio of income-producing retail properties in the United States, real estate-owning entities, and real estate-related assets.
Executives
Domenic Lanni officer: Chief Operating Officer 550 WEST ADAMS STREET, SUITE 200, CHICAGO IL 60661
Ryan M. Hess officer: Chief Financial Officer 550 WEST ADAMS STREET, SUITE 200, CHICAGO IL 60661
Matthew D Schreiber officer: COO, SVP & Assistant Secretary 550 WEST ADAMS STREET, SUITE 200, CHICAGO IL 60661
Julia Kholodenko officer: Chief Accounting Officer 66 BOVET ROAD, SUITE 100, SAN MATEO CA 94402
Mark Bradley Kettmann officer: Chief Financial Officer 66 BOVET ROAD, SUITE 100, SAN MATEO CA 94402
Todd Allan Spitzer director 7420 MORNINGLORY WAY, ORANGE CA 92869
Terri Garnick officer: Chief Financial Officer 400 SOUTH EL CAMINO REAL, SAN MATEO CA 94402-1708
Andrew Batinovich director, officer: CEO and CFO 200 SPECTRUM CENTER DRIVE, SUITE 2100, IRVINE CA 92618
Maier John B Ii director 4695 MACARTHUR COURT, SUITE 1100, NEWPORT BEACH CA 92660
Dee R Balch director 1900 MAIN STREET, SUITE 700, IRVINE CA 92614
Peter K Kompaniez director 26 EXECUTIVE PARK, SUITE 125, IRVINE CA 92614
Jeffrey S. Rogers director 1900 MAIN STREET, SUITE 700, IRVINE CA 92614
Anthony W Thompson director, officer: COB and CEO C/O THOMPSON FAMILY OFFICE, 1901 MAIN STREET, SUITE 108, IRVINE CA 92614
Jack R Maurer director, officer: Vice Chairman and President 1551 NORTH TUSTIN AVENUE, SUITE 200, SANTA ANA CA 92705
James R. Wolford officer: CFO, Treasurer & Secretary 233 WILSHIRE BLVD., SUITE 310, SANTA MONICA CA 90401

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