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Remote Dynamics (Remote Dynamics) Financial Strength : 0 (As of Sep. 2009)


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What is Remote Dynamics Financial Strength?

Remote Dynamics 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.

Remote Dynamics did not have earnings to cover the interest expense. Remote Dynamics's debt to revenue ratio for the quarter that ended in Sep. 2009 was 1.76. As of today, Remote Dynamics's Altman Z-Score is 0.00.


Competitive Comparison of Remote Dynamics's Financial Strength

For the Scientific & Technical Instruments subindustry, Remote Dynamics'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.


Remote Dynamics's Financial Strength Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Remote Dynamics's Financial Strength distribution charts can be found below:

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



Remote Dynamics 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:

Remote Dynamics's Interest Expense for the months ended in Sep. 2009 was $-0.30 Mil. Its Operating Income for the months ended in Sep. 2009 was $-0.36 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2009 was $0.00 Mil.

Remote Dynamics's Interest Coverage for the quarter that ended in Sep. 2009 is

Remote Dynamics 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.

Remote Dynamics's Debt to Revenue Ratio for the quarter that ended in Sep. 2009 is

Debt to Revenue Ratio=Total Debt (Q: Sep. 2009 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(9.088 + 0) / 5.156
=1.76

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.

Remote Dynamics 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.


Remote Dynamics  (OTCPK:RMTD) 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.

Remote Dynamics has the Financial Strength Rank of 0.


Remote Dynamics Financial Strength Related Terms

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


Remote Dynamics (Remote Dynamics) Business Description

Traded in Other Exchanges
N/A
Address
200 Chisholm Place, Suite 120, Plano, TX, USA, 75075
Remote Dynamics Inc markets, sells and supports automatic vehicle location and mobile resource management solutions targeting companies that own and operate private vehicle fleets, construction equipment, unpowered assets and others.
Executives
Miller Lloyd I Iii other: Former 10% Owner
Alan B Howe director 1155 KAS DRIVE SUITE 100, RICHARDSON TX 75081

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