Is H.B. Fuller (NYSE:FUL) Using Too Much Debt?
Is H.B. Fuller (NYSE:FUL) Using Too Much Debt?
Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of permanent loss is the risk I worry about... and every practical investor I know worries about.' When we think about how risky a company is, we always like to look at its use of debt, since debt overload can lead to ruin. As with many other companies H.B. Fuller Company (NYSE:FUL) makes use of debt. But the more important question is: how much risk is that debt creating?
霍华德·马克斯说得好,他说的不是担心股价的波动,而是 “永久损失的可能性是我担心的风险... 也是我认识的每位实际投资者所担心的风险。”当我们考虑一家公司的风险时,我们总是喜欢考虑其债务的用途,因为债务过载可能导致破产。与许多其他公司一样,富勒公司(纽约证券交易所代码:FUL)也使用债务。但更重要的问题是:这笔债务会带来多大的风险?
Why Does Debt Bring Risk?
为什么债务会带来风险?
Debt is a tool to help businesses grow, but if a business is incapable of paying off its lenders, then it exists at their mercy. In the worst case scenario, a company can go bankrupt if it cannot pay its creditors. However, a more common (but still painful) scenario is that it has to raise new equity capital at a low price, thus permanently diluting shareholders. Of course, the upside of debt is that it often represents cheap capital, especially when it replaces dilution in a company with the ability to reinvest at high rates of return. The first thing to do when considering how much debt a business uses is to look at its cash and debt together.
债务是帮助企业增长的工具,但是如果企业无法偿还贷款,那么债务就任其摆布。在最坏的情况下,如果公司无法向债权人付款,它可能会破产。但是,更常见(但仍然令人痛苦)的情况是,它必须以低廉的价格筹集新的股本,从而永久稀释股东。当然,债务的好处在于它通常代表廉价资本,尤其是当它以高回报率进行再投资的能力取代公司的稀释时。在考虑企业使用多少债务时,要做的第一件事是同时考虑其现金和债务。
What Is H.B. Fuller's Net Debt?
富勒的净负债是多少?
You can click the graphic below for the historical numbers, but it shows that as of June 2024 H.B. Fuller had US$2.13b of debt, an increase on US$1.93b, over one year. However, it also had US$114.8m in cash, and so its net debt is US$2.02b.
你可以点击下图查看历史数字,但它显示,截至2024年6月,富勒在一年内有21.3亿美元的债务,比19.3亿美元有所增加。但是,它也有1.148亿美元的现金,因此其净负债为20.2亿美元。
![big](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240820/0-441ab92f82eee19b6b34701ef50d21a5-0-c1e9c7f74a8fc86ce27a25dfa2486859.png/big)
How Strong Is H.B. Fuller's Balance Sheet?
富勒的资产负债表有多强?
Zooming in on the latest balance sheet data, we can see that H.B. Fuller had liabilities of US$684.1m due within 12 months and liabilities of US$2.44b due beyond that. Offsetting these obligations, it had cash of US$114.8m as well as receivables valued at US$571.1m due within 12 months. So its liabilities outweigh the sum of its cash and (near-term) receivables by US$2.44b.
放大最新的资产负债表数据,我们可以看到,富勒在12个月内到期的负债为6.841亿美元,之后到期的负债为24.4亿美元。除这些债务外,它有1.148亿美元的现金以及价值5.71亿美元的应收账款在12个月内到期。因此,其负债比其现金和(短期)应收账款总额高出24.4亿美元。
While this might seem like a lot, it is not so bad since H.B. Fuller has a market capitalization of US$4.43b, and so it could probably strengthen its balance sheet by raising capital if it needed to. But it's clear that we should definitely closely examine whether it can manage its debt without dilution.
尽管这可能看起来很多,但还不错,因为富勒的市值为44.3亿美元,因此如果需要,它可能会通过筹集资金来加强资产负债表。但很明显,我们一定要仔细研究它能否在不稀释的情况下管理债务。
In order to size up a company's debt relative to its earnings, we calculate its net debt divided by its earnings before interest, tax, depreciation, and amortization (EBITDA) and its earnings before interest and tax (EBIT) divided by its interest expense (its interest cover). The advantage of this approach is that we take into account both the absolute quantum of debt (with net debt to EBITDA) and the actual interest expenses associated with that debt (with its interest cover ratio).
为了扩大公司相对于收益的负债规模,我们计算其净负债除以利息、税项、折旧和摊销前的收益(EBITDA),将其利息和税前收益(EBIT)除以利息支出(利息保障)。这种方法的优势在于,我们既考虑了债务的绝对数量(包括净负债与息税折旧摊销前利润),也考虑了与该债务相关的实际利息支出(及其利息覆盖率)。
H.B. Fuller's debt is 3.5 times its EBITDA, and its EBIT cover its interest expense 3.4 times over. Taken together this implies that, while we wouldn't want to see debt levels rise, we think it can handle its current leverage. However, one redeeming factor is that H.B. Fuller grew its EBIT at 15% over the last 12 months, boosting its ability to handle its debt. When analysing debt levels, the balance sheet is the obvious place to start. But ultimately the future profitability of the business will decide if H.B. Fuller can strengthen its balance sheet over time. So if you're focused on the future you can check out this free report showing analyst profit forecasts.
富勒的债务是其息税折旧摊销前利润的3.5倍,其息税前利润支付了3.4倍的利息支出。总而言之,这意味着,尽管我们不希望债务水平上升,但我们认为它可以承受目前的杠杆率。但是,一个赎回因素是,富勒在过去12个月中将其息税前利润增长了15%,增强了其处理债务的能力。在分析债务水平时,资产负债表是显而易见的起点。但最终,该业务未来的盈利能力将决定富勒能否随着时间的推移加强其资产负债表。因此,如果您专注于未来,可以查看这份显示分析师利润预测的免费报告。
Finally, while the tax-man may adore accounting profits, lenders only accept cold hard cash. So we always check how much of that EBIT is translated into free cash flow. Looking at the most recent three years, H.B. Fuller recorded free cash flow of 47% of its EBIT, which is weaker than we'd expect. That's not great, when it comes to paying down debt.
最后,尽管税务人员可能喜欢会计利润,但贷款人只接受冷硬现金。因此,我们总是检查该息税前利润中有多少转化为自由现金流。纵观最近三年,富勒录得的自由现金流占其息税前利润的47%,低于我们的预期。在偿还债务方面,这并不好。
Our View
我们的观点
H.B. Fuller's interest cover and net debt to EBITDA definitely weigh on it, in our esteem. But we do take some comfort from its EBIT growth rate. We think that H.B. Fuller's debt does make it a bit risky, after considering the aforementioned data points together. Not all risk is bad, as it can boost share price returns if it pays off, but this debt risk is worth keeping in mind. When analysing debt levels, the balance sheet is the obvious place to start. However, not all investment risk resides within the balance sheet - far from it. To that end, you should be aware of the 1 warning sign we've spotted with H.B. Fuller .
在我们看来,富勒的利息覆盖率和净负债占息税折旧摊销前利润的比例无疑对其造成了压力。但是我们确实对它的息税前利润增长率感到安慰。综合考虑上述数据点后,我们认为富勒的债务确实使其有点风险。并非所有风险都是坏的,因为如果得到回报,它可以提高股价回报,但是这种债务风险值得牢记。在分析债务水平时,资产负债表是显而易见的起点。但是,并非所有的投资风险都存在于资产负债表中,远非如此。为此,你应该注意我们在 H.b. Fuller 身上发现的 1 个警告信号。
Of course, if you're the type of investor who prefers buying stocks without the burden of debt, then don't hesitate to discover our exclusive list of net cash growth stocks, today.
当然,如果你是那种喜欢在没有债务负担的情况下购买股票的投资者,那么请立即查看我们的独家净现金增长股票清单。
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Simply Wall St的这篇文章本质上是笼统的。我们仅使用公正的方法根据历史数据和分析师的预测提供评论,我们的文章无意作为财务建议。它不构成买入或卖出任何股票的建议,也没有考虑到您的目标或财务状况。我们的目标是为您提供由基本数据驱动的长期重点分析。请注意,我们的分析可能不考虑最新的价格敏感型公司公告或定性材料。简而言之,华尔街没有持有任何上述股票的头寸。