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Arbe Robotics (Arbe Robotics) Financial Strength : 7 (As of Dec. 2023)


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What is Arbe Robotics Financial Strength?

Arbe Robotics has the Financial Strength Rank of 7.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

GuruFocus does not calculate Arbe Robotics's interest coverage with the available data. Arbe Robotics's debt to revenue ratio for the quarter that ended in Dec. 2023 was 1.26. As of today, Arbe Robotics's Altman Z-Score is 2.41.


Competitive Comparison of Arbe Robotics's Financial Strength

For the Software - Infrastructure subindustry, Arbe Robotics's Financial Strength, along with its competitors' market caps and Financial Strength 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.


Arbe Robotics's Financial Strength Distribution in the Software Industry

For the Software industry and Technology sector, Arbe Robotics's Financial Strength distribution charts can be found below:

* The bar in red indicates where Arbe Robotics's Financial Strength falls into.



Arbe Robotics Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Arbe Robotics's Interest Expense for the months ended in Dec. 2023 was $0.00 Mil. Its Operating Income for the months ended in Dec. 2023 was $-12.10 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $1.31 Mil.

Arbe Robotics's Interest Coverage for the quarter that ended in Dec. 2023 is

GuruFocus does not calculate Arbe Robotics's interest coverage with the available data.

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Arbe Robotics's Debt to Revenue Ratio for the quarter that ended in Dec. 2023 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2023 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0.436 + 1.306) / 1.388
=1.26

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Arbe Robotics has a Z-score of 2.41, indicating it is in Grey Zones. This implies that Arbe Robotics is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk.

Warning Sign:

Altman Z-score of 2.41 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

* 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.


Arbe Robotics  (NAS:ARBE) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

Arbe Robotics has the Financial Strength Rank of 7.


Arbe Robotics Financial Strength Related Terms

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


Arbe Robotics (Arbe Robotics) Business Description

Traded in Other Exchanges
N/A
Address
107 HaHashmonaim Street, Yafo, Tel Aviv, ISR
Arbe Robotics Ltd is a provider of 4D Imaging Radar solutions enabling driver-assist systems while paving the way for fully autonomous driving. It is a research and development company in the field of chips for Advanced radar systems, which are mainly intended to be used as Advanced Driver Assistance Systems (ADAS) adapted for autonomous vehicles as well as for non-automotive uses. Its geographical segments include Sweden, China, Germany, USA, and others.