GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Retail - Cyclical » Barnes & Noble Inc (NYSE:BKS) » Definitions » Degree of Financial Leverage

Barnes & Noble (Barnes & Noble) Degree of Financial Leverage : 0.00 (As of Apr. 2019)


View and export this data going back to 1993. Start your Free Trial

What is Barnes & Noble Degree of Financial Leverage?

Degree of Financial Leverage (DFL) measures the percentage change in EPS for a unit change in Earnings Before Interest and Taxes (EBIT). Barnes & Noble's Degree of Financial Leverage for the quarter that ended in Apr. 2019 was 0.00. The higher Degree of Financial Leverage, the more volatile earnings will be.

The industry rank for Barnes & Noble's Degree of Financial Leverage or its related term are showing as below:

BKS's Degree of Financial Leverage is not ranked *
in the Retail - Cyclical industry.
Industry Median: 1.05
* Ranked among companies with meaningful Degree of Financial Leverage only.

Barnes & Noble Degree of Financial Leverage Historical Data

The historical data trend for Barnes & Noble's Degree of Financial Leverage can be seen below:

* 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.

* Premium members only.

Barnes & Noble Degree of Financial Leverage Chart

Barnes & Noble Annual Data
Trend Apr10 Apr11 Apr12 Apr13 Apr14 Apr15 Apr16 Apr17 Apr18 Apr19
Degree of Financial Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - - -

Barnes & Noble Quarterly Data
Jul14 Oct14 Jan15 Apr15 Jul15 Oct15 Jan16 Apr16 Jul16 Oct16 Jan17 Apr17 Jul17 Oct17 Jan18 Apr18 Jul18 Oct18 Jan19 Apr19
Degree of Financial Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - - - -

Competitive Comparison of Barnes & Noble's Degree of Financial Leverage

For the Specialty Retail subindustry, Barnes & Noble's Degree of Financial Leverage, along with its competitors' market caps and Degree of Financial Leverage 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.


Barnes & Noble's Degree of Financial Leverage Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Barnes & Noble's Degree of Financial Leverage distribution charts can be found below:

* The bar in red indicates where Barnes & Noble's Degree of Financial Leverage falls into.



Barnes & Noble Degree of Financial Leverage Calculation

Barnes & Noble's Degree of Financial Leverage for the quarter that ended in Apr. 2019 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( 0.05 (Apr. 2019) / -1.73 (Apr. 2018) - 1 )/( 16.529 (Apr. 2019) / -127.858 (Apr. 2018) - 1 )
=-1.0289/-1.1293
=0.91***

* 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.

** TTM data of EPS and EBIT was used to calculate Degree of Financial Leverage.
*** Please be aware that the Degree of Financial Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Barnes & Noble  (NYSE:BKS) Degree of Financial Leverage Explanation

Degree of Financial Leverage (DFL) is a leverage ratio that measures the sensitivity of a company’s Earnings per Share (EPS) to fluctuations in its operating income, also referred to as Earnings Before Interest and Taxes (EBIT), resulting from adjustments in its capital structure. DFL is an essential tool for companies to assess the appropriate level of debt or financial leverage in their capital structure. When EBIT remains relatively stable, it results in stable earnings and earnings per share. In such cases, the company may consider taking on substantial debt. However, for companies operating in industries with significant fluctuations in EBIT, it is advisable to keep debt at a manageable level.

The higher Degree of Financial Leverage, the more volatile earnings will be. Because interest is a fixed expense, leverage can amplify earnings and EPS. This is beneficial when EBIT is growing, but it can become problematic in tough economic conditions when EBIT is under pressure.

Be Aware

The use of financial leverage varies across different industries and business sectors, and the application of Degree of Financial Leverage (DFL) should be adjusted accordingly.


Barnes & Noble Degree of Financial Leverage Related Terms

Thank you for viewing the detailed overview of Barnes & Noble's Degree of Financial Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Barnes & Noble (Barnes & Noble) Business Description

Traded in Other Exchanges
N/A
Address
122 Fifth Avenue, New York, NY, USA, 10011
Barnes & Noble is a United States-based company that is mainly engaged in retail of books and products of content, digital media, and educational products. The company operates in a multichannel model, including a physical bookstore network throughout the country, an e-commerce platform on BN.com, and its Nook digital business. The company offers books, magazines, music, DVDs, newspapers, and entertainment content, along with e-reading products under the Nook brand. Retail sales from physical stores and BN.com account for the majority of the company's total revenue.
Executives
Al Ferrara director 433 LAWNDALE DRIVE, SOUTH SALT LAKE CITY UT 84115
Mark D Carleton director 12300 LIBERTY BLVD., ENGLEWOOD CO 80112
Scott S Cowen director 7=6823 ST CHARLES AVE, NEW ORLEANS LA 70118
William Earl Wood officer: Exec. VP, Pres. of Digital 1901 CAPITAL PARKWAY, AUSTIN TX 78746
George Jr Campbell director 4 IRVING PLACE, NEW YORK NY 10003
Patricia Higgins director 11780 U.S. HIGHWAY 1, SUITE 600, PALM BEACH GARDENS FL 33408
Irwin D Simon director C/O THE HAIN CELESTIAL GROUP INC., 1111 MARCUS AVENUE, LAKE SUCCESS NY 11042
Leonard Riggio director, 10 percent owner, officer: Executive Chairman 122 FIFTH AVE, NEW YORK NY 10011
Allen W Lindstrom officer: Chief Financial Officer C/O BARNES & NOBLE, INC., 122 FIFTH AVENUE, NEW YORK NY 10011
Bradley A. Feuer officer: VP, Gen. Counsel & Corp. Secy C/O BARNES & NOBLE, INC., 122 FIFTH AVENUE, NEW YORK NY 10011
Paul B Guenther director C/O GABELLI ASSET MANAGEMENT INC, ONE CORPORATE CENTER, RYE NY 16580
Joseph Charles Gorman officer: Executive VP, Operations C/O GNC HOLDINGS, INC. 300 SIXTH AVENUE PITTSBURGH PA 15222
Tim Mantel officer: Chief Merchandising Officer C/O BARNES & NOBLE, INC 122 FIFTH AVENUE NEW YORK NY 10011
Carl S Hauch officer: Vice President, Stores ADVANCE AUTO PARTS, INC, 5008 AIRPORT RD, ROANOKE VA 24012
Demos Parneros director, officer: Chief Executive Officer 483 BAY ST, 7TH FL NORTH TOWER, TORONTOON A1 999999999

Barnes & Noble (Barnes & Noble) Headlines

From GuruFocus

Barnes & Noble: Buying Opportunity or Value Trap?

By Ben Reynolds Ben Reynolds 07-11-2017