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ASGN (ASGN) Financial Strength : 6 (As of Mar. 2025)


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What is ASGN Financial Strength?

ASGN has the Financial Strength Rank of 6.

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.

ASGN's Interest Coverage for the quarter that ended in Mar. 2025 was 3.03. ASGN's debt to revenue ratio for the quarter that ended in Mar. 2025 was 0.35. As of today, ASGN's Altman Z-Score is 2.64.


Competitive Comparison of ASGN's Financial Strength

For the Information Technology Services subindustry, ASGN'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.


ASGN's Financial Strength Distribution in the Software Industry

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

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


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ASGN 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:

ASGN's Interest Expense for the months ended in Mar. 2025 was $-15 Mil. Its Operating Income for the months ended in Mar. 2025 was $47 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2025 was $1,327 Mil.

ASGN's Interest Coverage for the quarter that ended in Mar. 2025 is

Interest Coverage=-1*Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*46.6/-15.4
=3.03

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

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

ASGN's Debt to Revenue Ratio for the quarter that ended in Mar. 2025 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2025 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(19.8 + 1327.2) / 3873.2
=0.35

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.

ASGN has a Z-score of 2.64, indicating it is in Grey Zones. This implies that ASGN 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 2.64 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.


ASGN  (NYSE:ASGN) 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.

ASGN has the Financial Strength Rank of 6.


ASGN Financial Strength Related Terms

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


ASGN Business Description

Traded in Other Exchanges
Address
4400 Cox Road, Suite 110, Glen Allen, VA, USA, 23060
ASGN Inc is a provider of information technology (IT) services and professional solutions, including technology, creative, and digital, across the commercial and government sectors. It operates through two segments, Commercial and Federal Government. The Commercial Segment, which generates the majority of the revenue, provides consulting, creative digital marketing, and permanent placement services to Fortune 1000 clients and mid-market companies. The Federal Government Segment provides mission-critical solutions to the Department of Defense, intelligence agencies, and civilian agencies.
Executives
Theodore S. Hanson officer: EVP, ASGN 4400 COX ROAD, SUITE 110, GLEN ALLEN VA 23060
Carol Lindstrom director 5994 SILVERADO TRAIL, NAPA CA 94558
Randolph C Blazer officer: Pres, Apex-a sub of the Issuer C/O ASGN INCORPORATED, 26745 MALIBU HILLS ROAD, CALABASAS CA 91301
Arshad Matin director 26745 MALIBU HILLS ROAD, CALABASAS CA 91301
Jonathan S Holman director C/O ASGN INCORPORATED, 26745 MALIBU HILLS ROAD, CALABASAS CA 91301
Marty R Kittrell director C/O ON ASSIGNMENT, INC., 26745 MALIBU HILLS RD., CALABASAS CA 91301
Edwin A. Sheridan director ON ASSIGNMENT, INC., 26745 MALIBU HILLS ROAD, CALABASAS CA 91301
Jennifer Hankes Painter officer: VP, General Counsel, Secretary C/O ASGN INCORPORATED, 26745 MALIBU HILLS ROAD, CALABASAS CA 91301
Rose Cunningham officer: Chief Accounting Officer 4400 COX ROAD, SUITE 110, GLEN ALLEN VA 23060
Marie Perry officer: Exec VP, CFO 26745 MALIBU HILLS RD, CALABASAS CA 91301
Mark A. Frantz other: Board Adviser 1300 CALDER ROAD, MCLEAN VA 22101
Edward L Pierce officer: Exec VP, CFO 1439 WINDY MOUNTAIN AVE., WESTLAKE VILLAGE CA 91362
Mariel A Joliet director C/O ON ASSIGNMENT, 26745 MALIBU HILLS ROAD, CALABASAS CA 91301
Maria R Hawthorne director 701 WESTERN AVENUE, GLENDALE CA 91201
Jeremy M Jones director 2532 DUPONT AVENUE, IRVINE CA 92612