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Trupanion Financial Strength

: 7 (As of Jun. 2022)
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Trupanion has the Financial Strength Rank of 7.

Good Sign:

Trupanion Inc shows strong financial strength.

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.

Trupanion did not have earnings to cover the interest expense. Trupanion's debt to revenue ratio for the quarter that ended in Jun. 2022 was 0.06. As of today, Trupanion's Altman Z-Score is 6.86.


Competitive Comparison

For the Insurance - Specialty subindustry, Trupanion'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.

   

Trupanion Financial Strength Distribution

For the Insurance industry and Financial Services sector, Trupanion's Financial Strength distribution charts can be found below:

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



Trupanion 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:

Trupanion's Interest Expense for the months ended in Jun. 2022 was $-1.2 Mil. Its Operating Income for the months ended in Jun. 2022 was $-12.7 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2022 was $53.6 Mil.

Trupanion's Interest Coverage for the quarter that ended in Jun. 2022 is

Trupanion 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.

Trupanion's Debt to Revenue Ratio for the quarter that ended in Jun. 2022 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2022 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0.609 + 53.623) / 877.644
=0.06

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.

Trupanion has a Z-score of 6.86, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 6.86 is strong.

* 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.


Trupanion  (NAS:TRUP) 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.

Trupanion has the Financial Strength Rank of 7.


Trupanion Financial Strength Related Terms

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


Trupanion Business Description

Trupanion logo
Traded in Other Exchanges
Address
6100 4th Avenue South, Suite 200, Seattle, WA, USA, 98108
Trupanion Inc is a specialty insurance products provider in the United States. Its core business is the sale of insurance products tailor-made for pets, especially cats and dogs. The company generates most of its revenue from the subscription fees for the medical insurance plans. The company's medical plan pays most of the actual veterinary costs for the accident and illness claims, has no payout limitations, and can be used to cover the costs incurred at any veterinary practice, emergency care center, or specialty hospital primarily in the United States and in Canada and Puerto Rico. It operates in two business segments: subscription business and other business.
Executives
Tooth Margaret officer: Co-President 907 NW BALLARD WAY SEATTLE WA 98107
Wolff Andrew D. officer: Chief Financial Officer 6100 4TH AVE S, SUITE 200 SEATTLE WA 98108
Satchu Zay director 6100 4TH AVENUE S SUITE 200 SEATTLE WA 98108
Johnson Eric L director 6100 4TH AVENUE SUITE 200 SEATTLE WA 98108
Friedman Gavin officer: Chief People Officer 6100 4TH AVENUE SUITE 200 SEATTLE WA 98108
Levitan Dan director 505 FIFTH AVE S STE 600 SEATTLE WA 98104
Houk Thomas J officer: Chief Member Exper. Officer 6100 4TH AVENUE S SUITE 200 SEATTLE WA 98108
Davidson Jacqueline L director
Bearman Asher officer: Chief Administrative Officer 907 NW BALLARD WAY SEATTLE WA 98107
Maveron Equity Partners Iii, L.p. 10 percent owner 411 1ST AVENUE SOUTH, SUITE 600 SEATTLE WA 98104
Maveron General Partner Iii Llc 10 percent owner 411 1ST AVENUE SOUTH, SUITE 600 SEATTLE WA 98104
Mep Associates Iii, L.p. 10 percent owner 411 1ST AVENUE SOUTH, SUITE 600 SEATTLE WA 98104
Maveron Iii Entrepreneurs Fund, L.p. 10 percent owner 411 1ST AVENUE SOUTH, SUITE 600 SEATTLE WA 98104
Maveron Llc 10 percent owner 411 1ST AVENUE SOUTH, SUITE 600 SEATTLE WA 98104
Plouf Tricia officer: Chief Financial Officer 907 NW BALLARD WAY SEATTLE WA 98107

Trupanion Headlines

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