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VRPBCL.PFD (Validus Holdings) Degree of Operating Leverage : 0.00 (As of Jun. 2018)


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What is Validus Holdings Degree of Operating Leverage?

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

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

VRpBCL.PFD's Degree of Operating Leverage is not ranked *
in the Insurance industry.
Industry Median: 0.94
* Ranked among companies with meaningful Degree of Operating Leverage only.

Validus Holdings Degree of Operating Leverage Historical Data

The historical data trend for Validus 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.

Validus Holdings Degree of Operating Leverage Chart

Validus Holdings Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Degree of Operating Leverage
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Validus Holdings Quarterly Data
Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18
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Competitive Comparison of Validus Holdings's Degree of Operating Leverage

For the Insurance - Reinsurance subindustry, Validus 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.


Validus Holdings's Degree of Operating Leverage Distribution in the Insurance Industry

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

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


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Validus Holdings Degree of Operating Leverage Calculation

Validus Holdings's Degree of Operating Leverage for the quarter that ended in Jun. 2018 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -591.686 (Jun. 2018) / 517.734 (Jun. 2017) - 1 )/( 2858.284 (Jun. 2018) / 2454.294 (Jun. 2017) - 1 )
=-2.1428/0.1646
=-13.02***

* 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.


Validus Holdings  (NYSE:VRpBCL.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.


Validus Holdings Degree of Operating Leverage Related Terms

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


Validus Holdings Business Description

Traded in Other Exchanges
N/A
Address
Validus Holdings Ltd is a holding company for reinsurance and insurance operating companies and investment advisors. The company includes Validus Reinsurance, Talbot Underwriting, Western World Insurance Group, and AlphaCat Managers. Validus Reinsurance is a Bermuda-based reinsurer focused on treaty reinsurance. Talbot is a specialty insurance group that mainly operates in the Lloyd's insurance market. Western World Insurance Group is a U.S. specialty lines insurance company that specialises in excess and surplus lines. AlphaCat Managers provides investment and capital-management advice for third parties and Validus insurance-linked securities, as well as other property-catastrophe and specialty reinsurance investments.
Executives
Karin Hirtler-garvey director 112 W. 34TH STREET, NEW YORK NY 10120
Patrick Boisvert officer: Group Chief Accounting Officer VALIDUS HOLDINGS, LTD, 29 RICHMOND ROAD, PEMBROKE D0 HM08
Gail M Ross director VALIDUS HOLDINGS, LTD., 29 RICHMOND RD, PEMBROKE D0 HM 08
Peter Anthony Bilsby officer: CEO, Talbot Underwriting Ltd. VALIDUS HOLDINGS, LTD., 29 RICHMOND ROAD, PEMBROKE D0 HM 08
Christopher E Watson director C/O VALIDUS HOLDINGS, 48 PAR-LA-VILLE ROAD, SUITE 1790, HAMILTON HM11 D0 HM11
Michael Richard Moore officer: Chief Accounting Officer C/O VALIDUS HOLDINGS, 29 RICHMOND RD, PEMBROKE D0 HM08
Therese M Vaughan director VALIDUS HOLDINGS, THE CHARTIS BUILDING / 29 RICHMOND ROAD, PEMBROKE D0 HM 08
Karen Salam officer: EVP, Group Chief Risk Officer VALIDUS HOLDINGS, THE CHARTIS BUILDING/29 RICHMOND ROAD, PEMBROKE D0 HM08
Lixin Zeng officer: Pres, CEO Alpha Cat & Research VALIDUS HOLDINGS, 29 RICHMOND RD. / CHARTIS HOUSE, PEMBROKE D0 HM 08
Kean Driscoll officer: CEO, Validus Reinsurance, Ltd. VALIDUS HOLDINGS, 29 RICHMOND RD. / CHARTIS HOUSE, PEMBROKE D0 HM 08
Jeffrey Sangster officer: Chief Accounting Officer VALIDUS HOLDINGS, 29 RICHMOND RD. / CHARTIS HOUSE, PEMBROKE D0 HM 08
Mahmoud Abdallah director VALIDUS HOLDINGS, 29 RICHMOND ROAD / CHARTIS HOUSE, PEMBROKE D0 HM 08
Andrew E. Kudera officer: EVP, Chief Actuary VALIDUS HOLDINGS, THE CHARTIS BUILDING / 29 RICHMOND ROAD, PEMBROKE D0 HM 08
Robert F Kuzloski officer: EVP, Chief Corp. Legal Officer VALIDUS HOLDINGS, THE CHARTIS HOUSE / 29 RICHMOND ROAD, PEMBROKE D0 HM 08
Andrew Mark Gibbs officer: EVP, Group Controller VALIDUS HOLDINGS, THE CHARTIS BUILDING / 29 RICHMOND ROAD, PEMBROKE D0 HM 08

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