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VIVK (Vivakor) Financial Strength : 2 (As of Jun. 2024)


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What is Vivakor Financial Strength?

Vivakor has the Financial Strength Rank of 2. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.

Warning Sign:

Vivakor 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.

Vivakor did not have earnings to cover the interest expense. Vivakor's debt to revenue ratio for the quarter that ended in Jun. 2024 was 0.56. As of today, Vivakor's Altman Z-Score is -1.03.


Competitive Comparison of Vivakor's Financial Strength

For the Oil & Gas Integrated subindustry, Vivakor'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.


Vivakor's Financial Strength Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Vivakor's Financial Strength distribution charts can be found below:

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



Vivakor 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:

Vivakor's Interest Expense for the months ended in Jun. 2024 was $-0.48 Mil. Its Operating Income for the months ended in Jun. 2024 was $-2.85 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2024 was $14.81 Mil.

Vivakor's Interest Coverage for the quarter that ended in Jun. 2024 is

Vivakor 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.

Vivakor's Debt to Revenue Ratio for the quarter that ended in Jun. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(21.337 + 14.806) / 64.724
=0.56

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.

Vivakor has a Z-score of -1.03, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of -1.03 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.


Vivakor  (NAS:VIVK) 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.

Vivakor has the Financial Strength Rank of 2. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.


Vivakor Financial Strength Related Terms

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


Vivakor Business Description

Traded in Other Exchanges
N/A
Address
5220 Spring Valley Road, Suite LL20, Dallas, TX, USA, 75254
Vivakor Inc is a socially responsible operator, acquirer and developer of technologies and assets in the oil and gas industry, as well as related environmental solutions. It is primarily focused on operating crude oil gathering, storage and transportation facilities, as well as contaminated soil remediation services.
Executives
James H. Ballengee 10 percent owner 2009 CHENAULT DRIVE, SUITE 100, CARROLLTON TX 75006
David Natan director 11190 BISCAYNE BLVD, MIAMI FL 33181
Matthew Nicosia director 2 PARK PLAZA, SUITE 400, IRVINE CA 92614
Al Ferrara director 433 LAWNDALE DRIVE, SOUTH SALT LAKE CITY UT 84115
Trent Philip Staggs director 2067 W. BAMBERGER DRIVE, RIVERTON UT 84065
Spence Joseph S Jr director C/O VIVAKOR, INC., 433 LAWNDALE DRIVE, SOUTH SALT LAKE CITY UT 84115
Tyler Robert Nelson officer: Chief Financial Officer C/O VIVAKOR, INC., 433 LAWNDALE AVENUE, SOUTH SALT LAKE CITY UT 84115
Francis Wen-hou Chen director 1821 JONES STREET, SAN FRANCISCO CA 94109
Fritz Lin director 2590 HOLIDAY ROAD, SUITE 100, CORALVILLE IA 52241
John Gryga director 2590 HOLIDAY ROAD #100, CORALVILLE IA 52241
Tannin J Fuja director, 10 percent owner, officer: CEO and President 2590 HOLIDAY ROAD #100, CORALVILLE IA 52241
Ed Corrente officer: CFO 2590 HOLIDAY ROAD #100, CORALVILLE IA 52241
Nfg, Inc. 10 percent owner 2222 MICHELSON #222-164, IRVINE CA 92612