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HMS Holdings (HMS Holdings) Financial Strength : 0 (As of Dec. 2020)


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What is HMS Holdings Financial Strength?

HMS Holdings 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.

HMS Holdings's Interest Coverage for the quarter that ended in Dec. 2020 was 28.92. HMS Holdings's debt to revenue ratio for the quarter that ended in Dec. 2020 was 0.33. As of today, HMS Holdings's Altman Z-Score is 0.00.


Competitive Comparison of HMS Holdings's Financial Strength

For the Health Information Services subindustry, HMS Holdings'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.


HMS Holdings's Financial Strength Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, HMS Holdings's Financial Strength distribution charts can be found below:

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



HMS Holdings 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:

HMS Holdings's Interest Expense for the months ended in Dec. 2020 was $-1.5 Mil. Its Operating Income for the months ended in Dec. 2020 was $42.0 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2020 was $252.0 Mil.

HMS Holdings's Interest Coverage for the quarter that ended in Dec. 2020 is

Interest Coverage=-1*Operating Income (Q: Dec. 2020 )/Interest Expense (Q: Dec. 2020 )
=-1*41.958/-1.451
=28.92

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

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

HMS Holdings's Debt to Revenue Ratio for the quarter that ended in Dec. 2020 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2020 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(6.187 + 251.991) / 775.924
=0.33

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.

HMS Holdings 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.


HMS Holdings  (NAS:HMSY) 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.

HMS Holdings has the Financial Strength Rank of 0.


HMS Holdings Financial Strength Related Terms

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


HMS Holdings (HMS Holdings) Business Description

Traded in Other Exchanges
N/A
Address
5615 High Point Drive, Irving, TX, USA, 75038
HMS Holdings Corp is a United States-based holding company that conducts businesses through its operating subsidiaries. The company offers services that help customers contain healthcare insurance benefit costs. Its primary offerings comprise coordination of benefits, payment integrity, and eligibility verification. The coordination of benefits service ensures the right party pays a health claim. The payment integrity service ensures the billing and/or payment is accurate and appropriate. The eligibility verification service ensures individuals meet qualifying criteria for healthcare programs. The company's customers include Medicaid agencies, government health agencies, health plans, government and private employers, and others. The company operates only within the United States.
Executives
Richard H Stowe director CAPITAL COUNSEL LLC 360 PARK AVENUE 11TH FLOOR NEW YORK NY 10022
Craig R Callen director 7902 WESTPARK DR, C/O SUNRISE ASSISTED LIVING, MCLEAN VA 22102
Tellez Cora M director TISCH FAMILY INTERESTS, 667 MADISON AVE 7TH FL, NEW YORK NY 10021-8087
Bart M Schwartz director 401 PARK AVENUE SOUTH NEW YORK NY 10016
William C Lucia director, officer: Chairman, President and CEO HEALTH MANAGEMENT SYSTEMS 401 PARK AVENUE S NEW YORK NY 10021
Katherine Baicker director LILLY CORPORATE CENTER, INDIANAPOLIS IN 46285
Robert Becker director C/O HMS HOLDINGS CORP. 5615 HIGH POINT DR. IRVING TX 75038
Miller William F Iii director 3618 HARVARD, DALLAS TX 75205
Ellen A Rudnick director 5807 SOUTH WOODLAWN AVENUE, MP POLSKY CENTER FOR ENTREPRENEURSHIP, CHICAGO IL 60637
Jeffrey A Rideout director 2142 DEER OAK WAY, DANVILLE CA 94506
Greg D Aunan officer: SVP, Chief Accounting Officer HMS HOLDINGS CORP., 5615 HIGH POINT DRIVE, IRVING TX 75038
Jacob Sims officer: SVP, Chief Technology Officer C/O HMS HOLDINGS CORP. 5615 HIGH POINT DR. IRVING TX 75038
David A Alexander officer: Chief HR & Compliance Officer C/O HMS HOLDINGS CORP. 5615 HIGH POINT DRIVE IRVING TX 75038
Jeffrey Scott Sherman officer: EVP, CFO, and Treasurer 103 POWELL COURT, SUITE 200, BRENTWOOD TN 37027
Teresa South officer: Chief Administrative Officer 401 PARK AVENUE SOUTH NEW YORK NY 10016

HMS Holdings (HMS Holdings) Headlines

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