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Octopus Eclipse VCT 2 (LSE:OEC2) Financial Strength : 0 (As of Jul. 2012)


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What is Octopus Eclipse VCT 2 Financial Strength?

Octopus Eclipse VCT 2 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.

Octopus Eclipse VCT 2 has no long-term debt (1). As of today, Octopus Eclipse VCT 2's Altman Z-Score is 0.00.

(1) Note: An indication of "no long-term debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.


Competitive Comparison of Octopus Eclipse VCT 2's Financial Strength

For the subindustry, Octopus Eclipse VCT 2'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.


Octopus Eclipse VCT 2's Financial Strength Distribution in the Industry

For the industry and sector, Octopus Eclipse VCT 2's Financial Strength distribution charts can be found below:

* The bar in red indicates where Octopus Eclipse VCT 2's Financial Strength falls into.



Octopus Eclipse VCT 2 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:

Octopus Eclipse VCT 2's Interest Expense for the months ended in Jul. 2012 was £0.00 Mil. Its Operating Income for the months ended in Jul. 2012 was £-0.08 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jul. 2012 was £0.00 Mil.

Octopus Eclipse VCT 2's Interest Coverage for the quarter that ended in Jul. 2012 is

Octopus Eclipse VCT 2 had no long-term debt (1).

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

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

Octopus Eclipse VCT 2's Debt to Revenue Ratio for the quarter that ended in Jul. 2012 is

Debt to Revenue Ratio=Total Debt (Q: Jul. 2012 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0 + 0) / 0
=N/A

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.

Octopus Eclipse VCT 2 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.


Octopus Eclipse VCT 2  (LSE:OEC2) 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.

Octopus Eclipse VCT 2 has the Financial Strength Rank of 0.


Octopus Eclipse VCT 2 Financial Strength Related Terms

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Octopus Eclipse VCT 2 (LSE:OEC2) Business Description

Traded in Other Exchanges
N/A
Address
Octopus Eclipse VCT 2 PLC is a venture capital trust which aims to provide shareholders with attractive tax-free dividends and long-term capital growth, by investing in a diverse portfolio of unquoted and AIM-quoted companies.

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