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Windtree Therapeutics (Windtree Therapeutics) Degree of Financial Leverage : 1.83 (As of Dec. 2023)


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What is Windtree Therapeutics 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). Windtree Therapeutics's Degree of Financial Leverage for the quarter that ended in Dec. 2023 was 1.83. The higher Degree of Financial Leverage, the more volatile earnings will be.

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

WINT's Degree of Financial Leverage is ranked worse than
84.23% of 1503 companies
in the Biotechnology industry
Industry Median: 0.96 vs WINT: 1.83

Windtree Therapeutics Degree of Financial Leverage Historical Data

The historical data trend for Windtree Therapeutics'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.

Windtree Therapeutics Degree of Financial Leverage Chart

Windtree Therapeutics Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Financial Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.17 -0.85 0.23 1.14 1.83

Windtree Therapeutics Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 1.14 1.06 1.45 1.76 1.83

Competitive Comparison of Windtree Therapeutics's Degree of Financial Leverage

For the Biotechnology subindustry, Windtree Therapeutics'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.


Windtree Therapeutics's Degree of Financial Leverage Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Windtree Therapeutics's Degree of Financial Leverage distribution charts can be found below:

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



Windtree Therapeutics Degree of Financial Leverage Calculation

Windtree Therapeutics's Degree of Financial Leverage for the quarter that ended in Dec. 2023 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( -94.32 (Dec. 2023) / -1120.14 (Dec. 2022) - 1 )/( -20.241 (Dec. 2023) / -40.522 (Dec. 2022) - 1 )
=-0.9158/-0.5005
=1.83***

* 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.


Windtree Therapeutics  (NAS:WINT) 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.


Windtree Therapeutics Degree of Financial Leverage Related Terms

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Windtree Therapeutics (Windtree Therapeutics) Business Description

Traded in Other Exchanges
N/A
Address
2600 Kelly Road, Suite 100, Warrington, PA, USA, 18976-3622
Windtree Therapeutics Inc is a development-stage biotechnology company focused on developing KL4 surfactant therapies for respiratory diseases. Its technology platform includes synthetic, peptide-containing surfactant and novel drug-delivery technologies that deliver aerosolized KL4 surfactants without invasive procedures. Its development program utilizing its proprietary technology platform is AEROSURF which is being developed for the treatment of respiratory distress syndrome in premature infants. It operates in the business segment of research and development of products focused on surfactant therapies for respiratory disorders and diseases, and the manufacture and commercial sales of approved products.
Executives
Craig Fraser director, officer: Chief Executive Officer AEGERION PHARMACEUTICALS, INC., 101 MAIN STREET, SUITE 1850, CAMBRIDGE MA 02142
Jamie Mcandrew officer: VP, Controller, & CAO WINDTREE THERAPEUTICS, INC., 2600 KELLY ROAD, SUITE 100, WARRINGTON PA 18976
Mark Strobeck director 460 EAST SWEDESFORD ROAD, SUITE 1050, WAYNE PA 19087
James Huang director 9620 MEDICAL CENTER DRIVE, SUITE 300, ROCKVILLE MD 20850
John P. Hamill officer: SVP & CFO 4092 NEW HOPE ROAD, FURLONG PA 18925
Bioengine Capital Inc. 10 percent owner 7 F., NO. 3-2, PARK ST., NANGANG DIST., TAIPEI F5 11503
Center Laboratories, Inc. 10 percent owner 7 ., NO. 3-2, PARK ST. NANGANG DIST., TAIPEI F5 11503
Diane Carman officer: SVP & General Counsel 2600 KELLY ROAD, SUITE 100, WARRINGTON PA 18976
Eric Curtis officer: SVP & COO ONE MAIN STREET, SUITE 800, CAMBRIDGE MA 02142
Steven Simonson officer: SVP, Chief Development Officer 2600 KELLY ROAD, SUITE 100, WARRINGTON PA 18976
Evan Loh director 75 KNEELAND STREET, BOSTON MA 02111
Leslie J. Williams director C/O OCULAR THERAPEUTIX, INC., 15 CROSBY DRIVE, BEDFORD MA 01730
Robert A Scott director
Joseph M Mahady director 16640 CHESTERFIELD GROVE RD, SUITE 200, CHESTERFIELD MO 63005
Brian D Schreiber director 2600 KELLY ROAD, SUITE 100, WARRINGTON PA 18976

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