What is Growthpoint Properties Australia Financial Strength?
Growthpoint Properties Australia has the Financial Strength Rank of 4.
Warning Sign:
Growthpoint Properties Australia 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 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.
Growthpoint Properties Australia's Interest Coverage for the quarter that ended in Dec. 2023 was 2.48.
Growthpoint Properties Australia's debt to revenue ratio for the quarter that ended in Dec. 2023 was 6.30.
As of today, Growthpoint Properties Australia's Altman Z-Score is 0.71.
Competitive Comparison of Growthpoint Properties Australia's Financial Strength
For the REIT - Diversified subindustry, Growthpoint Properties Australia'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.
Growthpoint Properties Australia's Financial Strength Distribution in the REITs Industry
For the REITs industry and Real Estate sector, Growthpoint Properties Australia's Financial Strength distribution charts can be found below:
* The bar in red indicates where Growthpoint Properties Australia's Financial Strength falls into.
Growthpoint Properties Australia 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:
Growthpoint Properties Australia's Interest Expense for the
months ended in Dec. 2023 was A$-46.1 Mil. Its Operating Income for the
months ended in Dec. 2023 was A$114.3 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was A$2,017.0 Mil.
Growthpoint Properties Australia's Interest Coverage for the quarter that ended in Dec. 2023 is
The higher the ratio, the stronger the company's financial strength is.
Warning Sign:
Ben Graham prefers companies' interest coverage to be at least 5. Growthpoint Properties Australia interest coverage is 2.62, which is low.
2. Debt to revenue ratio. The lower, the better.
Growthpoint Properties Australia's Debt to Revenue Ratio for the quarter that ended in Dec. 2023 is
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.
Growthpoint Properties Australia has a Z-score of 0.71, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.
Warning Sign:
Altman Z-score of 0.71 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.
Growthpoint Properties Australia (ASX:GOZ) Business Description
Traded in Other Exchanges
Address
Level 18, 101 Collins Street, Melbourne, VIC, AUS, 3000
Growthpoint Properties is an internally managed Australian REIT, with commercial property investments split circa 65/35 between Australian office and industrial assets. Historically the REIT did not undertake funds management activities but it purchased fund manager Fortius in September 2022. The REIT usually limits speculative property development, though it built an office development in suburban Melbourne. The asset was completely vacant on completion, but Growthpoint was able to attract tenants and it is now occupied.
Growthpoint Properties Australia (ASX:GOZ) Headlines
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
ASX:GOZ has been successfully added to your