Toyo Gosei Co has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.
Warning Sign:
Toyo Gosei Co Ltd displays poor financial strength. Usually, this is caused by too much debt for the company.
GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and 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.
4. Other debt related ratios.
A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.
Toyo Gosei Co's Interest Coverage for the quarter that ended in Sep. 2024 was 17.50.
Toyo Gosei Co's debt to revenue ratio for the quarter that ended in Sep. 2024 was 0.63.
As of today, Toyo Gosei Co's Altman Z-Score is 1.77.
Competitive Comparison of Toyo Gosei Co's Financial Strength
For the Chemicals subindustry, Toyo Gosei Co'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.
Toyo Gosei Co's Financial Strength Distribution in the Chemicals Industry
For the Chemicals industry and Basic Materials sector, Toyo Gosei Co's Financial Strength distribution charts can be found below:
* The bar in red indicates where Toyo Gosei Co's Financial Strength falls into.
Toyo Gosei Co 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.
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:
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.
Toyo Gosei Co has a Z-score of 1.77, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.
Warning Sign:
Altman Z-score of 1.77 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.
Toyo Gosei Co (TSE:4970) Financial Strength Explanation
The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.
Toyo Gosei Co has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.
Toyo Gosei Co Financial Strength Related Terms
Thank you for viewing the detailed overview of Toyo Gosei Co's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.
Toyo Gosei Co Ltd is divided into Photosensitive materials, Green chemical, Energy, Aroma Chemical, and Logistics. Photosensitive materials include manufacturing of photoresist-type materials vital to semiconductors, LCD displays, and plasma displays. Green chemical involves recycling, purification and separation of waste solvents, Energy includes manufacturing of ionic liquids and electrolytes for lithium ion secondary batteries and double layer capacitors. Aroma chemical comprises of manufacturing and sale of materials for the fragrance and flavoring industries and Logistics involves support from storage to transport of dangerous substance.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
TSE:4970 has been successfully added to your