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AFP Planvital S.A. (XSGO:PLANVITAL) Financial Strength : 10 (As of Dec. 2023)


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What is AFP Planvital S.A. Financial Strength?

AFP Planvital S.A. has the Financial Strength Rank of 10. It shows strong financial strength and is unlikely to fall into distressed situations.

Good Sign:

AFP Planvital S.A. shows strong financial strength.

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.

AFP Planvital S.A.'s Interest Coverage for the quarter that ended in Dec. 2023 was 376.62. AFP Planvital S.A.'s debt to revenue ratio for the quarter that ended in Dec. 2023 was 0.03. As of today, AFP Planvital S.A.'s Altman Z-Score is 7.92.


Competitive Comparison of AFP Planvital S.A.'s Financial Strength

For the Asset Management subindustry, AFP Planvital S.A.'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.


AFP Planvital S.A.'s Financial Strength Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, AFP Planvital S.A.'s Financial Strength distribution charts can be found below:

* The bar in red indicates where AFP Planvital S.A.'s Financial Strength falls into.



AFP Planvital S.A. 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:

AFP Planvital S.A.'s Interest Expense for the months ended in Dec. 2023 was CLP-42 Mil. Its Operating Income for the months ended in Dec. 2023 was CLP15,803 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was CLP2,945 Mil.

AFP Planvital S.A.'s Interest Coverage for the quarter that ended in Dec. 2023 is

Interest Coverage=-1*Operating Income (Q: Dec. 2023 )/Interest Expense (Q: Dec. 2023 )
=-1*15802.613/-41.959
=376.62

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

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. AFP Planvital S.A. has enough cash to cover all of its debt. Its financial situation is stable.

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

AFP Planvital S.A.'s Debt to Revenue Ratio for the quarter that ended in Dec. 2023 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2023 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(788.032 + 2945.073) / 130330.644
=0.03

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.

AFP Planvital S.A. has a Z-score of 7.92, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 7.92 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.


AFP Planvital S.A.  (XSGO:PLANVITAL) 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.

AFP Planvital S.A. has the Financial Strength Rank of 10. It shows strong financial strength and is unlikely to fall into distressed situations.


AFP Planvital S.A. Financial Strength Related Terms

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AFP Planvital S.A. (XSGO:PLANVITAL) Business Description

Traded in Other Exchanges
N/A
Address
Tenderini 127, Santiago, CHL
AFP Planvital S.A. is a Chile based pension fund administrator. Its activities include investment & collection of affiliate contributions, management of individual capitalization accounts, & provision of life & disability benefits, as well as retirement pensions. It offers professional pension management.

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