RCIT (Reelcause) Debt-to-Equity: 2.28 (As of Sep. 2012)

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What is Reelcause Debt-to-Equity?

Reelcause RCIT Debt-to-Equity is 2.28 as of Sep. 2012.

Reelcause's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2012 was $10.76 Mil. Reelcause's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2012 was $0.00 Mil. Reelcause's Total Stockholders Equity for the quarter that ended in Sep. 2012 was $4.71 Mil. Reelcause's debt to equity for the quarter that ended in Sep. 2012 was 2.28.

A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.

The historical rank and industry rank for Reelcause's Debt-to-Equity or its related term are showing as below:

RCIT's Debt-to-Equity is not ranked *
in the Industrial Products industry.
Industry Median: 0.29
* Ranked among companies with meaningful Debt-to-Equity only.

Reelcause  (OTCPK:RCIT) Debt-to-Equity Explanation

In the calculation of Debt to Equity, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by Total Stockholders Equity. In some calculations, Total Liabilities is used to for calculation.

Be Aware

Because a company can increase its ROE % by having more financial leverage, it is important to watch the leverage ratio when investing in high ROE % companies.

Reelcause Debt-to-Equity Related Terms

Reelcause Debt-to-Equity Historical Data

* Premium members only.

The historical data trend for Reelcause's Debt-to-Equity can be seen below:

* 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.

Reelcause Debt-to-Equity Chart

Reelcause Annual Data
Trend Oct08 Oct09 Dec10 Dec11
Debt-to-Equity
0.00 0.00 1.57 3.00

Reelcause Quarterly Data
Oct08 Jan09 Apr09 Jul09 Oct09 Jan10 Apr10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12
Debt-to-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.04 3.00 2.95 1.97 2.28

RCIT vs TNRG: Debt-to-Equity Comparison

For the Specialty Industrial Machinery subindustry, Reelcause's Debt-to-Equity, along with its competitors' market caps and Debt-to-Equity 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.

Reelcause Debt-to-Equity vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Reelcause's Debt-to-Equity distribution charts can be found below:

* The bar in red indicates where Reelcause's Debt-to-Equity falls into.


Reelcause Debt-to-Equity Calculation

Debt to Equity measures the financial leverage a company has.

Reelcause's Debt to Equity Ratio for the fiscal year that ended in Dec. 2011 is calculated as

Debt to Equity=Total Debt / Total Stockholders Equity
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Total Stockholders Equity
=(11.175 + 0) / 3.724
=3.00

Reelcause's Debt to Equity Ratio for the quarter that ended in Sep. 2012 is calculated as

Debt to Equity=Total Debt / Total Stockholders Equity
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Total Stockholders Equity
=(10.756 + 0) / 4.709
=2.28

* 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.

Frequently Asked Questions Learn more about Debt-to-Equity →
What does a Debt-to-Equity of 2.28 mean?
Reelcause (RCIT) has a Debt-to-Equity of 2.28 as of Sep. 2012. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Reelcause and its competitors.
Is Reelcause's Debt-to-Equity too high?
Reelcause's current Debt-to-Equity is 2.28. The Industrial Products industry median Debt-to-Equity is 0.29. Reelcause's value of 2.28 is 686.2% above this industry median.
How does Reelcause's Debt-to-Equity compare to TNRG?
Reelcause's Debt-to-Equity of 2.28 can be compared against companies in the Industrial Products industry. The industry median Debt-to-Equity is 0.29. Reelcause's value of 2.28 is 686.2% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-Equity for an Industrial Products company?
The median Debt-to-Equity among Industrial Products companies is 0.29, based on 2,688 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-Equity significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Reelcause's current Debt-to-Equity of 2.28 is 686.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-Equity mean?
A high Debt-to-Equity can signal that a stock is expensive relative to its fundamentals. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Reelcause and its competitors. For the Industrial Products industry, the median Debt-to-Equity is 0.29 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Reelcause's current Debt-to-Equity is 2.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Reelcause stock overvalued right now?
Reelcause (RCIT) has a current Debt-to-Equity of 2.28. The current Debt-to-Equity is 2.28 and 686.2% above the Industrial Products industry median of 0.29. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-Equity calculated?
Debt-to-Equity is calculated from a company's financial statements. For Reelcause (RCIT), the current Debt-to-Equity is 2.28 as of Sep. 2012. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Reelcause Business Description

Address 4760 S Pecos Road, Suite 103, Las Vegas, NV, USA, 89121
Reelcause Inc focuses on commercializing patented technology related to new renewable energy projects. Its Product family include hydrogen gas range, hydrogen boiler, hydrogen hot air fan, hydrogen water purifier, hydrogen water source wave, hydrogen drone, hydrogen ene farm, and realization of smart farm using hydrogen boiler.