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The Bon-Ton Stores (The Bon-Ton Stores) Degree of Financial Leverage : 0.00 (As of Oct. 2017)


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What is The Bon-Ton Stores 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). The Bon-Ton Stores's Degree of Financial Leverage for the quarter that ended in Oct. 2017 was 0.00. The higher Degree of Financial Leverage, the more volatile earnings will be.

The industry rank for The Bon-Ton Stores's Degree of Financial Leverage or its related term are showing as below:

BONTQ's Degree of Financial Leverage is not ranked *
in the Retail - Cyclical industry.
Industry Median: 1.05
* Ranked among companies with meaningful Degree of Financial Leverage only.

The Bon-Ton Stores Degree of Financial Leverage Historical Data

The historical data trend for The Bon-Ton Stores'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.

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The Bon-Ton Stores Degree of Financial Leverage Chart

The Bon-Ton Stores Annual Data
Trend Jan08 Jan09 Jan10 Jan11 Jan12 Jan13 Jan14 Jan15 Jan16 Jan17
Degree of Financial Leverage
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The Bon-Ton Stores Quarterly Data
Jan13 Apr13 Jul13 Oct13 Jan14 Apr14 Jul14 Oct14 Jan15 Apr15 Jul15 Oct15 Jan16 Apr16 Jul16 Oct16 Jan17 Apr17 Jul17 Oct17
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Competitive Comparison of The Bon-Ton Stores's Degree of Financial Leverage

For the Department Stores subindustry, The Bon-Ton Stores'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.


The Bon-Ton Stores's Degree of Financial Leverage Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, The Bon-Ton Stores's Degree of Financial Leverage distribution charts can be found below:

* The bar in red indicates where The Bon-Ton Stores's Degree of Financial Leverage falls into.



The Bon-Ton Stores Degree of Financial Leverage Calculation

The Bon-Ton Stores's Degree of Financial Leverage for the quarter that ended in Oct. 2017 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( -4.6 (Oct. 2017) / -3.02 (Oct. 2016) - 1 )/( -18.566 (Oct. 2017) / 5.554 (Oct. 2016) - 1 )
=0.5232/-4.3428
=-0.12***

* 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.


The Bon-Ton Stores  (OTCPK:BONTQ) 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.


The Bon-Ton Stores Degree of Financial Leverage Related Terms

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


The Bon-Ton Stores (The Bon-Ton Stores) Business Description

Traded in Other Exchanges
N/A
Address
2801 East Market Street, York, PA, USA, 17402
The Bon-Ton Stores Inc operates is a department store operator in the United States. It offers a range of brand-name fashion apparel and accessories for women, men, and children, through stores in the United States. Its nationally distributed brand assortment includes a range of labels in the apparel, accessories, footwear, cosmetics and home furnishings industries, such as Anne Klein, Calvin Klein, Carters, Chaps, Clarks, Clinique, Coach, Estee Lauder and Others.
Executives
Chad C Stauffer officer: EVP, Chief Merchandising Off. AT HOME GROUP INC. 1600 EAST PLANO PARKWAY PLANO TX 75074
Philmer H Rohrbaugh director C/O FULTON FINANCIAL CORPORATION, ONE PENN SQUARE, LANCASTER PA 17602
Morgan Donald E Iii 10 percent owner C/O BRIGADE CAPITAL MANAGEMENT, LLC, 717 FIFTH AVENUE, SUITE 1301, NEW YORK NY 10022
Brigade Leveraged Capital Structures Fund Ltd. 10 percent owner ONE NEXUS WAY, CAMANA BAY, GRAND CAYMAN E9 KY1-9005
Todd C Mccarty director 2801 EAST MARKET STREET, YORK PA 17402
Nancy A Walsh officer: EVP, Chief Financial Officer LL FLOORING HOLDINGS, INC., 4901 BAKERS MILL LANE, RICHMOND VA 23230
Lucinda M Baier director 111 WESTWOOD PLACE, SUITE 400, BRENTWOOD TN 37027
Brendan Hoffman director 100 PIER 1 PLACE, FORT WORTH TX 76102
Thomas K Hernquist director 2801 EAST MARKET STREET, YORK PA 17402
Remy W Trafelet 10 percent owner C/O TRAFELET BROKAW CAPITAL MANAGEMENT,, 410 PARK AVENUE, 17TH FLOOR, NEW YORK NY 10022
Trafelet & Co Llc 10 percent owner 410 PARK AVENUE, 17TH FLOOR, NEW YORK NY 10022
Trafelet Capital Management, L.p. 10 percent owner 410 PARK AVENUE, 17TH FLOOR, NEW YORK NY 10022
Lynn C Derry officer: Senior VP - Gen Merch Manager CHRISTOPHER & BANKS CORPORATION 2400 XENIUM LANE NORTH PLYMOUTH MN 55441
Frank Tworecke officer: President & COO THE BON-TON STORES, INC. 2801 E. MARKET ST., P.O. BOX 2821 YORK PA 17405