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EQH (Equitable Holdings) Degree of Operating Leverage : 0.90 (As of Mar. 2025)


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What is Equitable Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Equitable Holdings's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 0.90. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Equitable Holdings's Degree of Operating Leverage or its related term are showing as below:

EQH's Degree of Operating Leverage is ranked worse than
54.15% of 615 companies
in the Asset Management industry
Industry Median: 0.69 vs EQH: 0.90

Equitable Holdings Degree of Operating Leverage Historical Data

The historical data trend for Equitable Holdings's Degree of Operating 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.

Equitable Holdings Degree of Operating Leverage Chart

Equitable Holdings Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -1.74 10.85 0.18 4.17 7.67

Equitable Holdings Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Degree of Operating 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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.51 1.89 -10.59 7.67 0.90

Competitive Comparison of Equitable Holdings's Degree of Operating Leverage

For the Asset Management subindustry, Equitable Holdings's Degree of Operating Leverage, along with its competitors' market caps and Degree of Operating 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.


Equitable Holdings's Degree of Operating Leverage Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, Equitable Holdings's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Equitable Holdings's Degree of Operating Leverage falls into.


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Equitable Holdings Degree of Operating Leverage Calculation

Equitable Holdings's Degree of Operating Leverage for the quarter that ended in Mar. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 2262 (Mar. 2025) / 1640 (Mar. 2024) - 1 )/( 14783 (Mar. 2025) / 10401 (Mar. 2024) - 1 )
=0.3793/0.4213
=0.90***

* 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 EBIT and Revenue was used to calculate Degree of Operating Leverage.
*** Please be aware that the Degree of Operating 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.


Equitable Holdings  (NYSE:EQH) Degree of Operating Leverage Explanation

Degree of Operating Leverage (DOL) is a leverage ratio that measures the sensitivity of a company’s operting income, also referred to as Earnings Before Interest and Taxes (EBIT), to fluctuations in its Revenue. DOL is a method used to quantify a company’s operating risk. This risk is related to the company's structure of variable costs and fixed costs. Since the fixed costs do not allow the company to adjust the operating costs, the operating risk rises with a higher fixed-to-variable costs proportion.

A high Degree of Operating Leverage indicates that the company’s fixed costs exceed its variable costs. By increasing the sales, the company can earn more profits. In addition, the company must be able to maintain relatively high sales to cover all fixed costs.

Be Aware

The use of operating leverage varies across different industries and business sectors, and the application of Degree of Operating Leverage (DOL) should be adjusted accordingly.


Equitable Holdings Degree of Operating Leverage Related Terms

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


Equitable Holdings Business Description

Traded in Other Exchanges
Address
1345 Avenue of the Americas, New York, NY, USA, 10105
Equitable Holdings Inc is a financial services company in the U.S. The company provides variable annuities, tax-deferred investment and retirement plans, employee benefits, and protection solutions for individuals, families, and small businesses. Its business segments include Individual Retirement, Group Retirement, Asset Management, Protection Solutions, Wealth Management, and Legacy. It generates the majority of its revenue from the Asset Management segment which provides diversified investment management and related solutions globally to a broad range of clients through three main client channels - Institutional, Retail, and Private Wealth.
Executives
Craig C Mackay director 75 WEST 125TH STREET, NEW YORK NY 10027
Jeffrey J Hurd officer: Senior EVP & COO C/O EQUITABLE HOLDINGS, INC., 1290 AVENUE OF THE AMERICAS, NEW YORK NY 10104
Mark Pearson director, officer: President and CEO C/O ALLIANCEBERNSTEIN L.P., 1345 AVENUE OF THE AMERICAS, NEW YORK NY 10105
Nick Lane officer: (See Remarks) C/O EQUITABLE HOLDINGS, INC., 1290 AVENUE OF THE AMERICAS, NEW YORK NY 10104
Daniel G Kaye director 1742 APPLEBY ROAD, INVERNESS IL 60067
Jose Ramon Gonzalez officer: SEVP & Chief Legal Officer 1290 AVENUE OF THE AMERICAS, NEW YORK NY 10104
Seth P Bernstein officer: (See Remarks) C/O ALLIANCEBERNSTEIN HOLDING, L.P., 1345 AVENUE OF THE AMERICAS, NEW YORK NY 10105
Arlene Isaacs-lowe director C/O XENIA HOTELS & RESORTS, INC., 200 S. ORANGE AVENUE, SUITE 2700, ORLANDO FL 32801
Eckert William James Iv officer: SVP, CAO and Controller C/O EQUITABLE HOLDINGS, INC., 1290 AVENUE OF THE AMERICAS, NEW YORK NY 10104
Bertram L Scott director C/O BECTON DICKERSON & CO, 1 BECTON DR, FRANKLIN LAKES NJ 07417
Stonehill Charles G.t. director C/O EQUITABLE HOLDINGS, INC., 1290 AVENUE OF THE AMERICAS, NEW YORK NY 10104
Kristi Ann Matus director C/O EQUITABLE HOLDINGS, INC., 1290 AVENUE OF THE AMERICAS, NEW YORK NY 10104
Robin M Raju officer: Senior EVP & CFO C/O EQUITABLE HOLDINGS, INC., 1290 AVENUE OF THE AMERICAS, NEW YORK NY 10104
Anders Malmstrom officer: Senior EVP & CFO C/O ALLIANCEBERNSTEIN HOLDING LP, 1345 AVENUE OF THE AMERICAS, NEW YORK NY 10105
Dave S. Hattem officer: Senior EVP & GC C/O EQUITABLE HOLDINGS, INC., 1290 AVENUE OF THE AMERICAS, NEW YORK NY 10104