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Gawk (GAWK) Financial Strength : 0 (As of Oct. 2017)


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What is Gawk Financial Strength?

Gawk has the Financial Strength Rank of 0.

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.

Gawk did not have earnings to cover the interest expense. Gawk's debt to revenue ratio for the quarter that ended in Oct. 2017 was 0.79. As of today, Gawk's Altman Z-Score is 0.00.


Competitive Comparison of Gawk's Financial Strength

For the Software - Infrastructure subindustry, Gawk'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.


Gawk's Financial Strength Distribution in the Software Industry

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

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



Gawk 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:

Gawk's Interest Expense for the months ended in Oct. 2017 was $-0.30 Mil. Its Operating Income for the months ended in Oct. 2017 was $-0.35 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Oct. 2017 was $0.00 Mil.

Gawk's Interest Coverage for the quarter that ended in Oct. 2017 is

Gawk did not have earnings to cover the interest expense.

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

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

Gawk's Debt to Revenue Ratio for the quarter that ended in Oct. 2017 is

Debt to Revenue Ratio=Total Debt (Q: Oct. 2017 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(4.216 + 0) / 5.368
=0.79

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.

Gawk has a Z-score of 0.00, indicating it is in Distress Zones. This implies bankrupcy 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.


Gawk  (OTCPK:GAWK) 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.

Gawk has the Financial Strength Rank of 0.


Gawk Financial Strength Related Terms

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


Gawk (GAWK) Business Description

Traded in Other Exchanges
N/A
Address
5300 Melrose Avenue, Suite 42, Los Angeles, CA, USA, 90038
Gawk Inc offers cloud communications, cloud connectivity, cloud computing, and managed cloud-based applications solutions to businesses; and offers domestic and international voice services to communications carriers worldwide. It also offers advanced data center and cloud-based services, including fault-tolerant, high availability cloud servers, which comprise a platform as a service, infrastructure as a service, and a content delivery network; managed network services that converge voice and data applications, structured cabling, wireless, and security services, as well as include Internet access via Ethernet or fiber at speeds ranging from 10 Mbps to 10 Gbps; and data center solutions, including cloud services, colocation services, and business continuity services.

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