XCOMQ (Xtera Communications) Debt-to-Equity: -1.21 (As of Jun. 2016)

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What is Xtera Communications Debt-to-Equity?

Xtera Communications XCOMQ -99.00% Debt-to-Equity is -1.21 as of Jun. 2016.

Xtera Communications's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2016 was $12.10 Mil. Xtera Communications's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2016 was $0.00 Mil. Xtera Communications's Total Stockholders Equity for the quarter that ended in Jun. 2016 was $-9.99 Mil. Xtera Communications's debt to equity for the quarter that ended in Jun. 2016 was -1.21.

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 Xtera Communications's Debt-to-Equity or its related term are showing as below:

XCOMQ's Debt-to-Equity is not ranked *
in the Hardware industry.
Industry Median: 0.28
* Ranked among companies with meaningful Debt-to-Equity only.

Xtera Communications  (OTCPK:XCOMQ) 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.

Xtera Communications Debt-to-Equity Related Terms

Xtera Communications Debt-to-Equity Historical Data

* Premium members only.

The historical data trend for Xtera Communications'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.

Xtera Communications Debt-to-Equity Chart

Xtera Communications Annual Data
Trend Sep13 Sep14 Sep15
Debt-to-Equity
4.14 -2.18 3.48

Xtera Communications Quarterly Data
Sep13 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16
Debt-to-Equity Get a 7-Day Free Trial Premium Member Only 0.67 3.48 0.61 1.18 -1.21

XCOMQ vs TAIT, AEY: Debt-to-Equity Comparison

For the Communication Equipment subindustry, Xtera Communications'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.

Xtera Communications Debt-to-Equity vs Hardware Industry

For the Hardware industry and Technology sector, Xtera Communications's Debt-to-Equity distribution charts can be found below:

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


Xtera Communications Debt-to-Equity Calculation

Debt to Equity measures the financial leverage a company has.

Xtera Communications's Debt to Equity Ratio for the fiscal year that ended in Sep. 2015 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
=(10.707 + 2.133) / 3.693
=3.48

Xtera Communications's Debt to Equity Ratio for the quarter that ended in Jun. 2016 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
=(12.103 + 0) / -9.989
=-1.21

* 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 -1.21 mean?
Xtera Communications (XCOMQ) has a Debt-to-Equity of -1.21 as of Jun. 2016. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Xtera Communications and its competitors.
Is Xtera Communications' Debt-to-Equity too high?
Xtera Communications' current Debt-to-Equity is -1.21.
How does Xtera Communications' Debt-to-Equity compare to TAIT and AEY?
Xtera Communications' Debt-to-Equity of -1.21 can be compared against companies in the Hardware industry. The industry median Debt-to-Equity is 0.28. 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 a Hardware company?
The median Debt-to-Equity among Hardware companies is 0.28, based on 2,232 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. 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 Xtera Communications and its competitors. For the Hardware industry, the median Debt-to-Equity is 0.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Xtera Communications's current Debt-to-Equity is -1.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Xtera Communications stock overvalued right now?
Xtera Communications (XCOMQ) has a current Debt-to-Equity of -1.21. The current Debt-to-Equity is -1.21. 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 Xtera Communications (XCOMQ), the current Debt-to-Equity is -1.21 as of Jun. 2016. 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.

Xtera Communications Business Description

Address 500 West Bethany Drive, Suite 100, Allen, TX, USA, 75013
Xtera Communications Inc is a provider of optical transport solutions. It sells its optical transport solutions to telecommunications service providers, content service providers, enterprises and government entities across the world to support their deployments of long-haul terrestrial and submarine optical cable networks. Its optical networking solutions are designed to offer reach and capacity for intermediate sites between end-points of long-haul networks. Its primary service offerings include services, installation and deployment services, on-site hardware replacement services, system maintenance services, extended hardware warranty services and training across a spectrum of products within the optical networking industry. The company offers hardware, software and turnkey solutions.