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SHWZ (Medicine Man Technologies) Degree of Operating Leverage : -25.89 (As of Jun. 2024)


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What is Medicine Man Technologies Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Medicine Man Technologies's Degree of Operating Leverage for the quarter that ended in Jun. 2024 was -25.89. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Medicine Man Technologies's Degree of Operating Leverage or its related term are showing as below:

SHWZ's Degree of Operating Leverage is ranked better than
92.94% of 637 companies
in the Healthcare Providers & Services industry
Industry Median: 0.51 vs SHWZ: -25.89

Medicine Man Technologies Degree of Operating Leverage Historical Data

The historical data trend for Medicine Man Technologies'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.

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Medicine Man Technologies Degree of Operating Leverage Chart

Medicine Man Technologies Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -63.68 0.40 -0.62 0.22 -4.27

Medicine Man Technologies Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
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 -2.59 -4.46 -4.27 -26.29 -25.89

Competitive Comparison of Medicine Man Technologies's Degree of Operating Leverage

For the Pharmaceutical Retailers subindustry, Medicine Man Technologies'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.


Medicine Man Technologies's Degree of Operating Leverage Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Medicine Man Technologies's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Medicine Man Technologies's Degree of Operating Leverage falls into.


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Medicine Man Technologies Degree of Operating Leverage Calculation

Medicine Man Technologies's Degree of Operating Leverage for the quarter that ended in Jun. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -8.559 (Jun. 2024) / 19.608 (Jun. 2023) - 1 )/( 174.909 (Jun. 2024) / 165.714 (Jun. 2023) - 1 )
=-1.4365/0.0555
=-25.89***

* 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.


Medicine Man Technologies  (OTCPK:SHWZ) 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.


Medicine Man Technologies Degree of Operating Leverage Related Terms

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


Medicine Man Technologies Business Description

Traded in Other Exchanges
N/A
Address
865 N. Albion Street, Suite 300, Denver, CO, USA, 80220
Medicine Man Technologies Inc is a vertically integrated multi-state cannabis operator focused on growth through expansion into existing and new markets. The Company's business involves the cultivation, manufacturing, distribution, and retail sale of cannabis and cannabis-related products. The Company sells products it manufactures and cultivates and a variety of other cannabis goods through wholly-owned retail stores, licensing arrangements, and/or third-party operators and retailers. Its operations are organized into three different segments: Retail, consisting of retail locations for sale of cannabis products; Wholesale, consisting of manufacturing, cultivation, and sale of both wholesale cannabis and non-cannabis products; and Other, consisting of all other income and expenses.
Executives
Daniel Pabon officer: General Counsel 4880 HAVANA STREET, SUITE 201, DENVER CO 80212
Christine Jones officer: Chief Legal Officer C/O MEDICINE MAN TECHNOLOGIES, INC., 4880 HAVANA ST., SUITE 201, DENVER CO 80239
Forrest Hoffmaster officer: CFO C/O MEDICINE MAN TECHNOLOGIES, INC., 4880 HAVANA ST., SUITE 201, DENVER CO 80239
Nirup Krishnamurthy director, officer: President 4880 HAVANA STREET, SUITE 201, DENVER CO 80239
Kathy P Vrabeck director 625 WESTPORT PARKWAY, GRAPEVINE TX 76051
Jeff Garwood director 55 TABBY CIRCLE, DAUFUSKIE ISLAND SC 29915
Pratap Chandra Mukharji director 4880 HAVANA STREET, SUITE 201, DENVER CO 80239
Salim Husan Wahdan director 4880 HAVANA ST., STE. 201, DENVER CO 80239
Paul Joseph Montalbano director 4880 HAVANA ST., STE. 201, DENVER CO 80239
Brad Stewart director C/O SEMPER PARATUS ACQUISITION CORP., 767 THIRD AVENUE, 38TH FLOOR, NEW YORK NY 10017
Justin Dye director, 10 percent owner, officer: CEO C/O MEDICINE MAN TECHNOLOGIES, INC., 4880 HAVANA STREET, SUITE 201, DENVER CO 80239
Jeffrey Alley Cozad director, 10 percent owner C/O MEDICINE MAN TECHNOLOGIES, INC., 4880 HAVANA ST., SUITE 201, DENVER CO 80239
Crw Capital Holdings Ii, Llc 10 percent owner 4740 W. MOCKINGBIRD LANE, STE 195579, DALLAS TX 75209
Crw Capital, Llc 10 percent owner 4740 W. MOCKINGBIRD LANE, P.O. BOX 195579, DALLAS TX 75209
Crw Capital Cann Holdings, Llc 10 percent owner 4740 W. MOCKINGBIRD LANE, P.O. BOX 195579, DALLAS TX 75209

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