What is Plascar Participacoes Industriais Financial Strength?
Plascar Participacoes Industriais 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:
Plascar Participacoes Industriais SA 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.
Plascar Participacoes Industriais's Interest Coverage for the quarter that ended in Mar. 2024 was 0.21.
Plascar Participacoes Industriais's debt to revenue ratio for the quarter that ended in Mar. 2024 was 0.32.
As of today, Plascar Participacoes Industriais's Altman Z-Score is -1.54.
Competitive Comparison of Plascar Participacoes Industriais's Financial Strength
For the Auto Parts subindustry, Plascar Participacoes Industriais'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.
Plascar Participacoes Industriais's Financial Strength Distribution in the Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Plascar Participacoes Industriais's Financial Strength distribution charts can be found below:
* The bar in red indicates where Plascar Participacoes Industriais's Financial Strength falls into.
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:
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. Plascar Participacoes Industriais SAs earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.
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.
Plascar Participacoes Industriais has a Z-score of -1.54, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.
Warning Sign:
Altman Z-score of -1.54 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.
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.
Plascar Participacoes Industriais 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.
Plascar Participacoes Industriais Financial Strength Related Terms
Thank you for viewing the detailed overview of Plascar Participacoes Industriais's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.
Plascar Participacoes Industriais (BSP:PLAS3) Business Description
Plascar Participacoes Industriais SA is engaged in manufacturing and distributing auto parts. The company with its subsidiaries is involved in the manufacturing and sales of pieces and parts related to internal and external finishing of automotive vehicles. In addition, the company is also involved in the manufacturing of non-automotive products, such as supermarket trolleys, multipurpose boxes, ecological pallets, and furniture. The company product portfolio includes products like includes bumpers, instrument panels, air diffusers, cup holders, side doors, door pockets, and carpets.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
BSP:PLAS3 has been successfully added to your