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A. P. Moller Maersk A/S (A. P. Moller Maersk A/S) Financial Strength : 5 (As of Dec. 2023)


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What is A. P. Moller Maersk A/S Financial Strength?

A. P. Moller Maersk A/S has the Financial Strength Rank of 5.

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 A. P. Moller Maersk A/S's interest coverage with the available data. A. P. Moller Maersk A/S's debt to revenue ratio for the quarter that ended in Dec. 2023 was 0.32. As of today, A. P. Moller Maersk A/S's Altman Z-Score is 1.60.


Competitive Comparison of A. P. Moller Maersk A/S's Financial Strength

For the Marine Shipping subindustry, A. P. Moller Maersk A/S'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.


A. P. Moller Maersk A/S's Financial Strength Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, A. P. Moller Maersk A/S's Financial Strength distribution charts can be found below:

* The bar in red indicates where A. P. Moller Maersk A/S's Financial Strength falls into.



A. P. Moller Maersk A/S 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:

A. P. Moller Maersk A/S's Interest Expense for the months ended in Dec. 2023 was $0 Mil. Its Operating Income for the months ended in Dec. 2023 was $-31,255 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $11,967 Mil.

A. P. Moller Maersk A/S's Interest Coverage for the quarter that ended in Dec. 2023 is

GuruFocus does not calculate A. P. Moller Maersk A/S'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.

A. P. Moller Maersk A/S'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
=(2847 + 11967) / 46964
=0.32

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.

A. P. Moller Maersk A/S has a Z-score of 1.60, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 1.6 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.


A. P. Moller Maersk A/S  (OTCPK:AMKAF) 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.

A. P. Moller Maersk A/S has the Financial Strength Rank of 5.


A. P. Moller Maersk A/S Financial Strength Related Terms

Thank you for viewing the detailed overview of A. P. Moller Maersk A/S's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


A. P. Moller Maersk A/S (A. P. Moller Maersk A/S) Business Description

Address
Esplanaden 50, Copenhagen, DNK, DK-1098
A.P. Moller-Maersk is a Denmark-listed global conglomerate involved in global trade, shipping, and energy. Maersk Line, the largest contributor to group revenue and earnings, has been the largest container shipping company globally for more than 20 years. Maersk was founded in 1904 and has since been run by the Moller-Maersk family, which currently holds slightly more than 50% of the share capital. The group has been active over the past few years in divesting noncore operations, such as its long-standing stakes in Danske Bank and Dansk Supermarked as well as its oil and gas operations.

A. P. Moller Maersk A/S (A. P. Moller Maersk A/S) Headlines

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