GURUFOCUS.COM » STOCK LIST » Healthcare » Medical Devices & Instruments » Sientra Inc (OTCPK:SIENQ) » Definitions » Degree of Financial Leverage

Sientra (Sientra) Degree of Financial Leverage : 3.26 (As of Sep. 2023)


View and export this data going back to 2014. Start your Free Trial

What is Sientra 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). Sientra's Degree of Financial Leverage for the quarter that ended in Sep. 2023 was 3.26. The higher Degree of Financial Leverage, the more volatile earnings will be.

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

SIENQ's Degree of Financial Leverage is ranked worse than
91.25% of 834 companies
in the Medical Devices & Instruments industry
Industry Median: 0.98 vs SIENQ: 3.26

Sientra Degree of Financial Leverage Historical Data

The historical data trend for Sientra'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.

Sientra Degree of Financial Leverage Chart

Sientra Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Degree of Financial Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.05 0.40 -1.08 0.18 -2.09

Sientra Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
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 71.79 -2.09 -0.04 -0.13 3.26

Competitive Comparison of Sientra's Degree of Financial Leverage

For the Medical Devices subindustry, Sientra'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.


Sientra's Degree of Financial Leverage Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Sientra's Degree of Financial Leverage distribution charts can be found below:

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



Sientra Degree of Financial Leverage Calculation

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

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( -5.57 (Sep. 2023) / -10.9 (Sep. 2022) - 1 )/( -49.526 (Sep. 2023) / -58.274 (Sep. 2022) - 1 )
=-0.489/-0.1501
=3.26***

* 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.


Sientra  (OTCPK:SIENQ) 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.


Sientra Degree of Financial Leverage Related Terms

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


Sientra (Sientra) Business Description

Traded in Other Exchanges
Address
3333 Michelson Drive, Suite 650, Irvine, CA, USA, 92612
Sientra Inc is a part of the healthcare sector in the United States. Its business involves the provision of silicone gel breast implants for use in breast augmentation and breast reconstruction procedures. Its operating segments are Breast Products and miraDry. The Breast Products segment focuses on sales of breast implants, tissue expanders and scar management products under the brands OPUS, AlloX2, Dermaspan, Softspan, and BIOCORNEUM. The miraDry segment focuses on sales of the miraDry System and bioTips. Geographically, the firm generates a majority of its revenue from the United States.
Executives
Alexander W. Casdin director C/O IGNYTA, INC., 11095 FLINTKOTE AVENUE, SUITE D, SAN DIEGO CA 92121
Ronald Menezes director, officer: President and CEO 420 S. FAIRVIEW AVENUE, SUITE 200, SANTA BARBARA CA 93117
Van Hove Caroline F. director 420 S. FAIRVIEW AVENUE, SUITE 200, SANTA BARBARA CA 93117
Oliver Christian Bennett officer: General Counsel and VP 420 S. FAIRVIEW AVENUE, SUITE 200, SANTA BARBARA CA 93117
Andrew C Schmidt officer: Chief Financial Officer 1700 CARNEGIE AVE, SUITE 100, SANTA ANA CA 92705
Irina Erenburg director 420 S. FAIRVIEW AVENUE, SANTA BARBARA CA 93117
Nori Ebersole director C/O UROVANT SCIENCES, INC., 5151 CALIFORNIA AVENUE, SUITE 250, IRVINE CA 92617
Valerie J Miller officer: VP, Controller and Interim CFO
Paul Sean Little officer: Chief Financial Officer SIENTRA, INC., 420 SOUTH FAIRVIEW AVENUE, SUITE 200, SANTA BARBARA CA 93117
Jeffrey M Nugent director 1875 SOUTH GRANT STREET, SUITE 110, SAN MATEO CA 94402
Keith J Sullivan director C/O RELIANT TECHNOLOGIES, INC., 464 ELLIS STREET, MOUNTAIN VIEW CA 94043
Kevin C Oboyle director 5964 LA PLACE COURT, CARLSBAD CA 92008
Mary Fisher director C/O ACORDA THERAPEUTICS, INC., 15 SKYLINE DRIVE, HAWTHORNE NY 10532
Timothy Haines director, 10 percent owner 38 JERMYN STREET, LONDON X0 SW1Y 6DN
Philippe Schaison director C/O ACTAVIS PLC MORRIS CORP CENTER III, 400 INTERPACE PARKWAY, PARSIPPANY NJ 07054

Sientra (Sientra) Headlines

From GuruFocus

Q3 2020 Sientra Inc Earnings Call Transcript

By GuruFocus Research 02-09-2024

Q4 2019 Sientra Inc Earnings Call Transcript

By GuruFocus Research 02-09-2024

Q4 2021 Sientra Inc Earnings Call Transcript

By GuruFocus Research 02-09-2024

Q4 2022 Sientra Inc Earnings Call Transcript

By GuruFocus Research 02-09-2024

Q1 2022 Sientra Inc Earnings Call Transcript

By GuruFocus Research 02-09-2024