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Rogers (Rogers) Degree of Financial Leverage : 1.20 (As of Dec. 2023)


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What is Rogers 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). Rogers's Degree of Financial Leverage for the quarter that ended in Dec. 2023 was 1.20. The higher Degree of Financial Leverage, the more volatile earnings will be.

The industry rank for Rogers's Degree of Financial Leverage or its related term are showing as below:

ROG's Degree of Financial Leverage is ranked worse than
68.84% of 2426 companies
in the Hardware industry
Industry Median: 1 vs ROG: 1.20

Rogers Degree of Financial Leverage Historical Data

The historical data trend for Rogers'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.

* Premium members only.

Rogers Degree of Financial Leverage Chart

Rogers Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Financial Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.00 0.28 1.66 0.44 1.20

Rogers Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Degree of Financial 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 0.44 0.18 0.45 0.56 1.20

Competitive Comparison of Rogers's Degree of Financial Leverage

For the Electronic Components subindustry, Rogers'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.


Rogers's Degree of Financial Leverage Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Rogers's Degree of Financial Leverage distribution charts can be found below:

* The bar in red indicates where Rogers's Degree of Financial Leverage falls into.



Rogers Degree of Financial Leverage Calculation

Rogers's Degree of Financial Leverage for the quarter that ended in Dec. 2023 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( 3.03 (Dec. 2023) / 6.15 (Dec. 2022) - 1 )/( 86.7 (Dec. 2023) / 149.9 (Dec. 2022) - 1 )
=-0.5073/-0.4216
=1.20***

* 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.


Rogers  (NYSE:ROG) 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.


Rogers Degree of Financial Leverage Related Terms

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


Rogers (Rogers) Business Description

Industry
Traded in Other Exchanges
Address
2225 West Chandler Boulevard, Chandler, AZ, USA, 85224-6155
Rogers Corporation designs develop and manufacture engineered materials and components for sale to original equipment manufacturers and component suppliers. The firm operates in three business segments: advanced connectivity solutions, which manufactures circuit materials for applications in communications infrastructure, automotive, and consumer electronics markets; elastomeric material solutions, which provide cushioning, sealing, and impact protection in automotive, transportation, and construction applications; and power electronics solutions, which sells ceramic substrate materials for power module applications. The firm generates revenue primarily in the United States, China, and Germany, but has a presence around the world.
Executives
Brian Keith Larabee officer: Vice President - EMS 689 PUDDING HILL ROAD, HAMPTON CT 06247
Griffin Melaney Gappert officer: VP, Chief Technology Officer 24 OLD FARMSTEAD RD, CHESTER NJ 07930
Anne K Roby director 39 OLD RIDGEBURY ROAD, DANBURY CT 06810-5113
Lauzon Armand F Jr director 227 WEST MONROE STREET, SUITE 2600, CHICAGO IL 60606
Larry L Berger director 1 ECOLAB PLACE, SAINT PAUL MN 55102
Ramakumar Mayampurath officer: SVP, CFO, Treasurer 2225 W CHANDLER BLVD, CHANDLER AZ 85224
Michael Reed Webb officer: SVP & Chief Admin Officer 2225 W CHANDLER BLVD, CHANDLER AZ 85224
Jessica Ann Morton officer: VP, Gen Counsel, Secretary 803 S. 2ND STREET, PHILADELPHIA PA 19147
Lawrence Erwin Schmid officer: Senior VP Global Operations 1863 BENDING STREAM DRIVE, LEAGUE CITY TX 77573
Jeffrey J Owens director 5725 DELPHI DRIVE, TROY MI 48098
Peter C Wallace director C/O ROBBINS & MYERS, INC., 51 PLUM STREET, SUITE 260, DAYTON OH 45440
Gouveia Randall Colin officer: SVP, GM of EMA 2225 W. CHANDLER BLVD.,, CHANDLER AZ 85224
Keith Barnes director 10100 N TANTAU AVE, CUPERTINO CA 95014-2540
Robert C Daigle officer: V.P. R&D and CTO C/O: ROGERS CORPORATION, ONE TECHNOLOGY DRIVE PO BOX 188, ROGERS CT 06263-0188
Bruce D. Hoechner director, officer: President and CEO 2225 W CHANDLER BLVD, CHANDLER AZ 85224