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Feintool International Holding AG (XSWX:FTON) Financial Strength : 7 (As of Dec. 2023)


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What is Feintool International Holding AG Financial Strength?

Feintool International Holding AG has the Financial Strength Rank of 7.

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.

Feintool International Holding AG's Interest Coverage for the quarter that ended in Dec. 2023 was 6.29. Feintool International Holding AG's debt to revenue ratio for the quarter that ended in Dec. 2023 was 0.13. As of today, Feintool International Holding AG's Altman Z-Score is 2.29.


Competitive Comparison of Feintool International Holding AG's Financial Strength

For the Specialty Industrial Machinery subindustry, Feintool International Holding AG'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.


Feintool International Holding AG's Financial Strength Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Feintool International Holding AG's Financial Strength distribution charts can be found below:

* The bar in red indicates where Feintool International Holding AG's Financial Strength falls into.



Feintool International Holding AG 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:

Feintool International Holding AG's Interest Expense for the months ended in Dec. 2023 was CHF-2.8 Mil. Its Operating Income for the months ended in Dec. 2023 was CHF17.8 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was CHF78.5 Mil.

Feintool International Holding AG's Interest Coverage for the quarter that ended in Dec. 2023 is

Interest Coverage=-1*Operating Income (Q: Dec. 2023 )/Interest Expense (Q: Dec. 2023 )
=-1*17.801/-2.831
=6.29

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

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

Feintool International Holding AG's Debt to Revenue Ratio for the quarter that ended in Dec. 2023 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2023 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(27.85 + 78.537) / 795.358
=0.13

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.

Feintool International Holding AG has a Z-score of 2.29, indicating it is in Grey Zones. This implies that Feintool International Holding AG is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk.

Warning Sign:

Altman Z-score of 2.29 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

* 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.


Feintool International Holding AG  (XSWX:FTON) 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.

Feintool International Holding AG has the Financial Strength Rank of 7.


Feintool International Holding AG Financial Strength Related Terms

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Feintool International Holding AG (XSWX:FTON) Business Description

Traded in Other Exchanges
Address
Industriering 8, Lyss, CHE, 3250
Feintool International Holding AG is a company providing fine blanking systems and producing ready-to-install fine blanking & forming components for the automobile industry. It carries its operations in three segments namely System Parts Europe, System Parts USA, and System Parts Asia. The majority of its revenue comes from the System Parts Europe segment, which develops, manufactures and sells system components and assemblies using fine blanking technology. Its operations are carried out in Europe, Japan, China, and U.S. Majority sales come from Europe excluding Switzerland.

Feintool International Holding AG (XSWX:FTON) Headlines

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