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Opus Global (BUD:OPUS) Financial Strength : 5 (As of Jun. 2024)


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What is Opus Global Financial Strength?

Opus Global has the Financial Strength Rank of 5.

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.

Opus Global's Interest Coverage for the quarter that ended in Jun. 2024 was 2.30. Opus Global's debt to revenue ratio for the quarter that ended in Jun. 2024 was 0.42. As of today, Opus Global's Altman Z-Score is 1.30.


Competitive Comparison of Opus Global's Financial Strength

For the Engineering & Construction subindustry, Opus Global'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.


Opus Global's Financial Strength Distribution in the Construction Industry

For the Construction industry and Industrials sector, Opus Global's Financial Strength distribution charts can be found below:

* The bar in red indicates where Opus Global's Financial Strength falls into.



Opus Global 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:

Opus Global's Interest Expense for the months ended in Jun. 2024 was Ft-4,024 Mil. Its Operating Income for the months ended in Jun. 2024 was Ft9,264 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2024 was Ft232,342 Mil.

Opus Global's Interest Coverage for the quarter that ended in Jun. 2024 is

Interest Coverage=-1*Operating Income (Q: Jun. 2024 )/Interest Expense (Q: Jun. 2024 )
=-1*9264.104/-4023.696
=2.30

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

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

Opus Global's Debt to Revenue Ratio for the quarter that ended in Jun. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(13991.856 + 232342.498) / 586046.996
=0.42

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.

Opus Global has a Z-score of 1.30, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 1.3 is in distress zone. This implies bankruptcy possibility in the next two years.

* 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.


Opus Global  (BUD:OPUS) 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.

Opus Global has the Financial Strength Rank of 5.


Opus Global Financial Strength Related Terms

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


Opus Global Business Description

Traded in Other Exchanges
Address
59 Andrassy Street, Budapest, HUN, 1062
Opus Global PLC is a holding company manufacturing furnaces and fireplaces, construction activities, developing properties, and operating resorts. The company has structured its operations into the following businesses - industrial manufacturing, agriculture and food industry, Tourism, and asset management segment. The maximum revenue is generated from the industrial manufacturing business. Its geographic segments are Hungary, Germany, Austria, Switzerland, and Montenegro. It generates the majority of its revenue from Hungary.

Opus Global Headlines

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