GURUFOCUS.COM » STOCK LIST » Energy » Oil & Gas » Gastar Exploration Inc (OTCPK:GSPBQ.PFD) » Definitions » Degree of Operating Leverage

GSPBQ.PFD (Gastar Exploration) Degree of Operating Leverage : 0.00 (As of Sep. 2018)


View and export this data going back to 2013. Start your Free Trial

What is Gastar Exploration Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Gastar Exploration's Degree of Operating Leverage for the quarter that ended in Sep. 2018 was 0.00. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

GSPBQ.PFD's Degree of Operating Leverage is not ranked *
in the Oil & Gas industry.
Industry Median: 0.95
* Ranked among companies with meaningful Degree of Operating Leverage only.

Gastar Exploration Degree of Operating Leverage Historical Data

The historical data trend for Gastar Exploration'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.

Gastar Exploration Degree of Operating Leverage Chart

Gastar Exploration Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Degree of Operating Leverage
Get a 7-Day Free Trial - - - - -

Gastar Exploration Quarterly Data
Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18
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 - - - - -

Competitive Comparison of Gastar Exploration's Degree of Operating Leverage

For the Oil & Gas E&P subindustry, Gastar Exploration'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.


Gastar Exploration's Degree of Operating Leverage Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Gastar Exploration's Degree of Operating Leverage distribution charts can be found below:

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


;
;

Gastar Exploration Degree of Operating Leverage Calculation

Gastar Exploration's Degree of Operating Leverage for the quarter that ended in Sep. 2018 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -42.023 (Sep. 2018) / -0.07 (Sep. 2017) - 1 )/( 65.203 (Sep. 2018) / 74.934 (Sep. 2017) - 1 )
=599.3286/-0.1299
=-4,615.16***

* 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.


Gastar Exploration  (OTCPK:GSPBQ.PFD) 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.


Gastar Exploration Degree of Operating Leverage Related Terms

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


Gastar Exploration Business Description

Traded in Other Exchanges
N/A
Address
1331 Lamar Street, Suite 650, Houston, TX, USA, 77010
Gastar Exploration Inc is a Mid-Continent independent energy company which is engaged in the exploration, development, and production of oil, condensate, natural gas, and NGLs (natural gas liquids). The principal business activities of the company include the identification, acquisition, and subsequent exploration and development of oil and natural gas properties with an emphasis on unconventional reserves, such as shale resource plays. The company's exploration properties consist primarily of oil and natural gas leases in the Mid-Continent area of the U.S. in Oklahoma. Gastar operates through a single segment being Exploration and production of oil, condensate, and natural gas.

Gastar Exploration Headlines

From GuruFocus

Gastar Exploration Announces New Independent Director

By PRNewswire PRNewswire 05-14-2018