GURUFOCUS.COM » STOCK LIST » USA » NAS » Great Elm Group Inc (NAS:GEG) » Definitions » Financial Strength
Switch to:

Great Elm Group Financial Strength

: 3 (As of Mar. 2022)
View and export this data going back to 1999. Start your Free Trial

Great Elm Group 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:

Great Elm Group Inc 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.

Great Elm Group did not have earnings to cover the interest expense. Great Elm Group's debt to revenue ratio for the quarter that ended in Mar. 2022 was 0.62. As of today, Great Elm Group's Altman Z-Score is -32.16.


Competitive Comparison

For the Medical Distribution subindustry, Great Elm Group'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.

   

Great Elm Group Financial Strength Distribution

For the Medical Distribution industry and Healthcare sector, Great Elm Group's Financial Strength distribution charts can be found below:

* The bar in red indicates where Great Elm Group's Financial Strength falls into.



Great Elm Group 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:

Great Elm Group's Interest Expense for the months ended in Mar. 2022 was $-1.35 Mil. Its Operating Income for the months ended in Mar. 2022 was $-1.94 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2022 was $36.87 Mil.

Great Elm Group's Interest Coverage for the quarter that ended in Mar. 2022 is

Great Elm Group 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.

Great Elm Group's Debt to Revenue Ratio for the quarter that ended in Mar. 2022 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2022 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(4.374 + 36.865) / 66.488
=0.62

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.

Great Elm Group has a Z-score of -32.16, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of -32.16 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.


Great Elm Group  (NAS:GEG) 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.

Great Elm Group 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.


Great Elm Group Financial Strength Related Terms

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


Great Elm Group Business Description

Great Elm Group logo
Traded in Other Exchanges
Address
800 South Street, Suite 230, Waltham, MA, USA, 02453
Great Elm Group Inc formerly, Great Elm Capital Group Inc operates as a holding company. The company operates in four business lines including durable medical equipment, investment management and real estate with general corporate. The maximum revenue is generated from Durable medical equipment segment by selling durable medical equipment, replacement parts and supplies to its customers and its also leases durable medical equipment for a fixed monthly amount on a month-to-month basis.
Executives
Matter David director 800 SOUTH STREET SUITE 230 WALTHAM MA 02453
Parmelee James P director 100 UNION SQUARE DRIVE NEW HOPE PA 18938
Northern Right Capital Management, L.p. 10 percent owner, other: Member of 13D 10% Group 9 OLD KINGS HWY. S. 4TH FLOOR DARIEN CT 06820
Northern Right Capital (qp), L.p. 10 percent owner, other: Member of 13D 10% Group 9 OLD KINGS HWY. S. 4TH FLOOR DARIEN CT 06820
Nrc Partners I, Lp 10 percent owner, other: Member of 13D 10% Group 9 OLD KINGS HIGHWAY SOUTH 4TH FLOOR DARIEN CT 06820
Bc Advisors Llc 10 percent owner, other: Member of 13D 10% Group 500 CRESCENT COURT SUITE 230 DALLAS TX 75201
Serota Jeffrey director 123 ROBERT S. KERR AVENUE OKLAHOMA CITY OK 73120
Hugar James H director C/O VITESSE SEMICONDUCTOR CORPORATION 4721 CALLE CARGA CAMARILLO CA 93012
Pearson Brent J officer: Chief Financial Officer 800 SOUTH STREET SUITE 230 WALTHAM MA 02453
Scheyer Eric J director 725 FIFTH AVENUE 19TH FLOOR NEW YORK NY 10022
Harbin Thomas S director SOURCE CAPITAL, LLC 75 FOURTEENTH STREET, SUITE 2700 ATLANTA GA 30309
Long Ball Partners Llc 10 percent owner 10100 SANTA MONICA BLVD. SUITE 2400 LOS ANGELES CA 90067
Reese Jason W. director, 10 percent owner C/O IMPERIAL CAPITAL ASSET MANAGEMENT, L 10100 SANTA MONICA BLVD. SUITE 2400 LOS ANGELES CA 90067
Drapkin Matthew A director 10 CORBIN DRIVE 3RD FLOOR DARIEN CT 06820
Imperial Capital Asset Management, Llc 10 percent owner 10100 SANTA MONICA BLVD. SUITE 2400 LOS ANGELES CA 90067

Great Elm Group Headlines

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)