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Exelis (FRA:6EX) Financial Strength : 0 (As of Mar. 2015)


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What is Exelis Financial Strength?

Exelis has the Financial Strength Rank of 0.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

GuruFocus does not calculate Exelis's interest coverage with the available data. Exelis's debt to revenue ratio for the quarter that ended in Mar. 2015 was 0.21. As of today, Exelis's Altman Z-Score is 0.00.


Competitive Comparison of Exelis's Financial Strength

For the Aerospace & Defense subindustry, Exelis's Financial Strength, along with its competitors' market caps and Financial Strength 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.


Exelis's Financial Strength Distribution in the Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Exelis's Financial Strength distribution charts can be found below:

* The bar in red indicates where Exelis's Financial Strength falls into.



Exelis Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Exelis's Interest Expense for the months ended in Mar. 2015 was €0 Mil. Its Operating Income for the months ended in Mar. 2015 was €96 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2015 was €600 Mil.

Exelis's Interest Coverage for the quarter that ended in Mar. 2015 is

GuruFocus does not calculate Exelis's interest coverage with the available data.

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Exelis's Debt to Revenue Ratio for the quarter that ended in Mar. 2015 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2015 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0 + 599.676) / 2901.36
=0.21

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Exelis has a Z-score of 0.00, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

* 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.


Exelis  (FRA:6EX) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

Exelis has the Financial Strength Rank of 0.


Exelis Financial Strength Related Terms

Thank you for viewing the detailed overview of Exelis's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


Exelis (FRA:6EX) Business Description

Traded in Other Exchanges
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Address
Exelis Inc was incorporated in the state of Indiana on May 4, 2011. The Company is a diversified aerospace, defense, information and services Company. The Company operates in two segments: Command, Control, Communications, Computers, Intelligence, Surveillance and Reconnaissance (C4ISR) Electronics and Systems and Information and Technical Services to military, government and commercial customers in the United States and internationally. The C4ISR Electronics and Systems segment provides engineered systems and solutions, including: ISR systems; integrated electronic warfare systems; radar and sonar systems; electronic attack and release systems; communications solutions; space systems; and composite aerostructures, for government and commercial customers. The Information and Technical Services segment provides a broad range of service solutions, including: systems integration; network design and development; air traffic management; cyber; intelligence; operations; sustainment; advanced engineering; logistics; and space launch and range-support, for U.S. military and U.S. Government customers. The C4ISR Electronics and Systems' products are classified into Intelligence, Surveillance and Reconnaissance Systems, Integrated Electronic Warfare Systems, Electronic Attack and Release Systems, Radar, Reconnaissance and Undersea Systems, Communications Solutions, Night Vision, Positioning, Navigation and Timing, Aerostructures, and Specialty Applications. Information and Technical Services product lines are classified into Advanced Information Solutions, Civil and Aerospace Systems, Command, Control and Communications Systems, Infrastructure Asset Management, Logistics and Supply Chain Management, and Information Technology and Network Communication Services. The Company's customers include the United States Department of Defense, including U.S. Army, Navy, Marines and Air Force, U.S. Government intelligence agencies, National Aeronautics and Space Administration, Federal Aviation Administration. The Company competes against companies such as Lockheed Martin Corporation, The Boeing Company, Raytheon Company, General Dynamics Corporation, L-3 Communications Corporation, SAIC Inc., Northrop Grumman Corporation, Harris Corporation and BAE Systems, Inc. Internationally, it also competes against these same companies as well as Thales Group, EADS N.V., Finmeccanica S.p.A., among others The Company is subject to federal, state and local environmental laws and regulations.

Exelis (FRA:6EX) Headlines

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