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MRAI (Marpai) Degree of Financial Leverage : 2.08 (As of Mar. 2024)


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What is Marpai Degree of Financial Leverage?

Degree of Financial Leverage (DFL) measures the percentage change in EPS for a unit change in Earnings Before Interest and Taxes (EBIT). Marpai's Degree of Financial Leverage for the quarter that ended in Mar. 2024 was 2.08. The higher Degree of Financial Leverage, the more volatile earnings will be.

The industry rank for Marpai's Degree of Financial Leverage or its related term are showing as below:

MRAI's Degree of Financial Leverage is ranked worse than
90.48% of 21 companies
in the Healthcare Plans industry
Industry Median: 1.01 vs MRAI: 2.08

Marpai Degree of Financial Leverage Historical Data

The historical data trend for Marpai's Degree of Financial Leverage 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.

* Premium members only.

Marpai Degree of Financial Leverage Chart

Marpai Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Financial Leverage
- - 1.77 0.65 -6.18

Marpai Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Degree of Financial Leverage 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 0.65 0.41 0.27 -6.18 2.08

Competitive Comparison of Marpai's Degree of Financial Leverage

For the Healthcare Plans subindustry, Marpai's Degree of Financial Leverage, along with its competitors' market caps and Degree of Financial Leverage 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.


Marpai's Degree of Financial Leverage Distribution in the Healthcare Plans Industry

For the Healthcare Plans industry and Healthcare sector, Marpai's Degree of Financial Leverage distribution charts can be found below:

* The bar in red indicates where Marpai's Degree of Financial Leverage falls into.



Marpai Degree of Financial Leverage Calculation

Marpai's Degree of Financial Leverage for the quarter that ended in Mar. 2024 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( -3.06 (Mar. 2024) / -5.8 (Mar. 2023) - 1 )/( -22.975 (Mar. 2024) / -29.725 (Mar. 2023) - 1 )
=-0.4724/-0.2271
=2.08***

* 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.

** TTM data of EPS and EBIT was used to calculate Degree of Financial Leverage.
*** Please be aware that the Degree of Financial Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Marpai  (OTCPK:MRAI) Degree of Financial Leverage Explanation

Degree of Financial Leverage (DFL) is a leverage ratio that measures the sensitivity of a company’s Earnings per Share (EPS) to fluctuations in its operating income, also referred to as Earnings Before Interest and Taxes (EBIT), resulting from adjustments in its capital structure. DFL is an essential tool for companies to assess the appropriate level of debt or financial leverage in their capital structure. When EBIT remains relatively stable, it results in stable earnings and earnings per share. In such cases, the company may consider taking on substantial debt. However, for companies operating in industries with significant fluctuations in EBIT, it is advisable to keep debt at a manageable level.

The higher Degree of Financial Leverage, the more volatile earnings will be. Because interest is a fixed expense, leverage can amplify earnings and EPS. This is beneficial when EBIT is growing, but it can become problematic in tough economic conditions when EBIT is under pressure.

Be Aware

The use of financial leverage varies across different industries and business sectors, and the application of Degree of Financial Leverage (DFL) should be adjusted accordingly.


Marpai Degree of Financial Leverage Related Terms

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


Marpai Business Description

Industry
Traded in Other Exchanges
N/A
Address
615 Channelside Drive, Suite 207, Tampa, FL, USA, 33602
Marpai Inc operates as a health plan company. It uses A.I. to predict and help prevent costly events for its members, and in turn, lower its clients' health care costs. It offers a health plan services system that addresses the problems of healthcare past and enables companies to provide healthcare to employees. The company generates the majority of its revenue from the United States.
Executives
Damien Lamendola director, 10 percent owner 5701 EAST HILLSBOROUGH AVENUE, SUITE 1417, TAMPA FL 33610-5428
Mohsen Moazami director C/O ASTREA ACQUISITION CORP., 55 OCEAN LANE DRIVE, APT. 3021, KEY BISCAYNE FL 33149
Yaron Eitan director 65 CHALLENGER ROAD, RIDGEFIELD PARK NJ 07660
Edmundo Gonzalez director, officer: CEO, Secretary and Director C/O SELWAY CAPITAL ACQUISITION CORP., 74 GRAND AVENUE, 2ND FLOOR, ENGLEWOOD NJ 07631
Sagiv Shiv director
Vincent Kane director 5701 EAST HILLSBOROUGH AVENUE, SUITE 1417, TAMPA FL 33131
Ronnie Brown officer: Chief Operating Officer 5701 EAST HILLSBOROUGH AVENUE, SUITE 1417, TAMPA FL 33610-5428
Lutz Finger officer: See Remarks 5701 EAST HILLSBOROUGH AVENUE, SUITE 1417, TAMPA FL 33610
Yoram Bibring officer: Chief Financial Officer C/O SELWAY ACQUISITION CORPORATION, 66 FORD ROAD, SUITE 230, DENVILLE NJ 07834
Jane Cavalier director 5701 EAST HILLSBOROUGH AVENUE, SUITE 1417, TAMPA FL 33610-5428
Diclaudio Colleen director 456 SEATON STREET, LOS ANGELES CA 90013
Art Hoath officer: Chief Revenue Officer 5701 EAST HILLSBOROUGH AVENUE, SUITE 1417, TAMPA FL 33610-5428
Gonen Antebi director 5701 EAST HILLSBOROUGH AVENUE, SUITE 1417, TAMPA FL 33610-5428
Eli David other: See footnote (1) 5701 EAST HILLSBOROUGH AVENUE, SUITE 1417, TAMPA FL 33131