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Motion Display Scandinavia AB (XSAT:MODI) Financial Strength : 4 (As of Mar. 2024)


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What is Motion Display Scandinavia AB Financial Strength?

Motion Display Scandinavia AB has the Financial Strength Rank of 4.

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.

GuruFocus does not calculate Motion Display Scandinavia AB's interest coverage with the available data. Motion Display Scandinavia AB's debt to revenue ratio for the quarter that ended in Mar. 2024 was 0.10. As of today, Motion Display Scandinavia AB's Altman Z-Score is -3.89.


Competitive Comparison of Motion Display Scandinavia AB's Financial Strength

For the Advertising Agencies subindustry, Motion Display Scandinavia AB'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.


Motion Display Scandinavia AB's Financial Strength Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Motion Display Scandinavia AB's Financial Strength distribution charts can be found below:

* The bar in red indicates where Motion Display Scandinavia AB's Financial Strength falls into.



Motion Display Scandinavia AB 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:

Motion Display Scandinavia AB's Interest Expense for the months ended in Mar. 2024 was kr0.00 Mil. Its Operating Income for the months ended in Mar. 2024 was kr2.10 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was kr1.00 Mil.

Motion Display Scandinavia AB's Interest Coverage for the quarter that ended in Mar. 2024 is

GuruFocus does not calculate Motion Display Scandinavia AB's interest coverage with the available data.

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Motion Display Scandinavia AB's Debt to Revenue Ratio for the quarter that ended in Mar. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(3.196 + 1) / 40.98
=0.10

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.

Motion Display Scandinavia AB has a Z-score of -3.89, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of -3.89 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.


Motion Display Scandinavia AB  (XSAT:MODI) 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.

Motion Display Scandinavia AB has the Financial Strength Rank of 4.


Motion Display Scandinavia AB Financial Strength Related Terms

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Motion Display Scandinavia AB (XSAT:MODI) Business Description

Traded in Other Exchanges
N/A
Address
Salagatan 16, Uppsala, SWE, 753 30
Motion Display Scandinavia AB is engaged in providing in-store advertising with electronic paper displays. The services offered by the company include fixed overlay, exchangeable overlay, and ESL add-on.

Motion Display Scandinavia AB (XSAT:MODI) Headlines

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