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DST Systems (DST Systems) Financial Strength : 0 (As of Dec. 2017)


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What is DST Systems Financial Strength?

DST Systems 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.

DST Systems's Interest Coverage for the quarter that ended in Dec. 2017 was 10.89. DST Systems's debt to revenue ratio for the quarter that ended in Dec. 2017 was 0.26. As of today, DST Systems's Altman Z-Score is 0.00.


Competitive Comparison of DST Systems's Financial Strength

For the Software - Infrastructure subindustry, DST Systems'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.


DST Systems's Financial Strength Distribution in the Software Industry

For the Software industry and Technology sector, DST Systems's Financial Strength distribution charts can be found below:

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



DST Systems 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:

DST Systems's Interest Expense for the months ended in Dec. 2017 was $-7 Mil. Its Operating Income for the months ended in Dec. 2017 was $77 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2017 was $537 Mil.

DST Systems's Interest Coverage for the quarter that ended in Dec. 2017 is

Interest Coverage=-1*Operating Income (Q: Dec. 2017 )/Interest Expense (Q: Dec. 2017 )
=-1*77.3/-7.1
=10.89

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

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

DST Systems's Debt to Revenue Ratio for the quarter that ended in Dec. 2017 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2017 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(83.7 + 537.1) / 2375.6
=0.26

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.

DST Systems 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.


DST Systems  (NYSE:DST) 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.

DST Systems has the Financial Strength Rank of 0.


DST Systems Financial Strength Related Terms

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


DST Systems (DST Systems) Business Description

Traded in Other Exchanges
N/A
Address
DST Systems Inc is a provider of information processing and servicing solutions to the financial industry. Clients include asset-management firms, brokerages, retirement funds, and healthcare firms. The company operates three business segments: financial services, healthcare services, and customer communications. DST Systems' largest segment by revenue, financial services, provides transaction processing, account opening and maintenance, reconciliation of trades, positions and cash, corporate actions, regulatory reporting and compliance functions, and tax reporting services. The company generates most of its revenue in the United States of America.
Executives
Samuel G Liss director VERISK ANALYTICS, INC., 545 WASHINGTON BOULEVARD, JERSEY CITY NJ 07310
Gary D Forsee director C/O INGERSOLL-RAND COMPANY, 155 CHESTNUT RIDGE ROAD, MONTVALE NJ 07645
Joseph C Antonellis director STATE STREET CORPORATION, ONE LINCOLN STREET, BOSTON MA 02111
Charles E Haldeman director C/O JBG/OPERATING PARTNERS, L.P., 4445 WILLARD AVENUE, SUITE 400, CHEVY CHASE MD 20815
Edmund J Burke officer: President of Subsidiary 1290 BROADWAY, SUITE 1100, DENVER CO 80203
Lynn Dorsey Bleil director 333 WEST 11TH STREET, KANSAS CITY MO 64105
Stephen C Hooley director, officer: Chairman, CEO & President 2355 WAUKEGAN ROAD, BANNOCKBURN IL 60015
A Edward Allinson director STATE STREET BOSTON CORP 225 FRANKLIN STREET BOSTON MA 02110
John W Clark director 949 SOUTH COAST DRIVE, SUITE 650, COSTA MESA CA 92626
George L Argyros director ARNEL & AFFILIATES, 949 SOUTH COAST DR SUITE 600, COSTA MESA CA 92626
Lawrence M Higby director C/O APRIA HEALTHCARE GROUP INC, 26220 ENTERPRISE COURT, LAKE FOREST CA 92630
Thomas A Mcdonnell director, officer: CEO & Director C/O KANSAS CITY SOUTHERN, 427 W 12TH STREET, KANSAS CITY MO 64105
M Jeannine Strandjord other: Retired Director as of 5/9/12
William C Nelson director 6521 WE NONGA TERRACE, MISSION HILLS KY 66208
Thomas A Mccullough director C/O DST SYSTEMS, 333 WEST 11TH ST 5TH FL, KANSAS CITY MO 64105

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