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Evolent Health Financial Strength

: 6 (As of Jun. 2022)
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Evolent Health has the Financial Strength Rank of 6.

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.

Evolent Health did not have earnings to cover the interest expense. Evolent Health's debt to revenue ratio for the quarter that ended in Jun. 2022 was 0.27. As of today, Evolent Health's Altman Z-Score is 3.01.


Competitive Comparison

For the Health Information Services subindustry, Evolent Health'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.

   

Evolent Health Financial Strength Distribution

For the Healthcare Providers & Services industry and Healthcare sector, Evolent Health's Financial Strength distribution charts can be found below:

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



Evolent Health 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:

Evolent Health's Interest Expense for the months ended in Jun. 2022 was $-2 Mil. Its Operating Income for the months ended in Jun. 2022 was $-4 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2022 was $342 Mil.

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

Evolent Health 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.

Evolent Health'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
=(6.389 + 341.719) / 1279.756
=0.27

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.

Evolent Health has a Z-score of 3.01, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 3.01 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.


Evolent Health  (NYSE:EVH) 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.

Evolent Health has the Financial Strength Rank of 6.


Evolent Health Financial Strength Related Terms

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


Evolent Health Business Description

Evolent Health logo
Traded in Other Exchanges
Address
800 N. Glebe Road, Suite 500, Arlington, VA, USA, 22203
Evolent Health Inc is engaged in healthcare delivery and payment. The company supports health systems and physician organizations in their migration toward value-based care and population health management. The company's reportable segments are Service segment which includes value-based care services, specialty care management services and comprehensive health plan administration services. and True Health segment consists of a commercial health plan it operates in New Mexico that focuses on small and large businesses. It generates a majority of its revenue from the Service segment.
Executives
Sotunde Tunde director 800 N. GLEBE RD SUITE 500 ARLINGTON VA 22203
Keck Kim director 30 W. MONROE STREET, SUITE 1200 CHICAGO IL 60603
Barbarosh Craig A. director 3525 PIEDMONT RD., NE BUILDING 6, SUITE 700 ATLANTA GA 30305
Tutewohl Steve officer: Chief Operating Officer 800 NORTH GLEBE ROAD SUITE 500 ARLINGTON VA 22203
Shams Aammaad officer: Controller/Prin. Acct. Officer 800 NORTH GLEBE ROAD SUITE 500 ARLINGTON VA 22203
Grua Peter J director C/O HLM VENTURE PARTNERS 116 HUNTINGTON AVENUE, 9TH FLOOR BOSTON MA 02116
Johnson John Paul officer: Chief Financial Officer 800 NORTH GLEBE ROAD SUITE 500 ARLINGTON VA 22203
Unitedhealth Group Inc director, other: Director by Deputization 9900 BREN ROAD EAST MINNETONKA MN 55343
Duffy Mary Bridget director C/O VOCERA COMMUNICATIONS, INC. 525 RACE STREET SAN JOSE CA 95126
Weinberg Jonathan officer: General Counsel 800 N. GLEBE ROAD, SUITE 500 ARLINGTON VA 22203
Pomeroy Chad officer: Chief Technology Officer 800 N. GLEBE ROAD, SUITE 500 ARLINGTON VA 22203
Blackley Seth officer: President 800 N. GLEBE ROAD, SUITE 500 ARLINGTON VA 22203
Williams Frank J director, officer: Chief Executive Officer 800 NORTH GLEBE ROAD, SUITE 500 ARLINGTON VA 22203
Mcgrane Nicholas officer: Chief Financial Officer 800 N. GLEBE ROAD, SUITE 500 ARLINGTON VA 22203
Peterson Thomas Iii officer: Chief Operating Officer 800 N. GLEBE ROAD, SUITE 500 ARLINGTON VA 22203

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