These 4 Measures Indicate That Ovintiv (NYSE:OVV) Is Using Debt Extensively
These 4 Measures Indicate That Ovintiv (NYSE:OVV) Is Using Debt Extensively
Warren Buffett famously said, 'Volatility is far from synonymous with risk.' So it might be obvious that you need to consider debt, when you think about how risky any given stock is, because too much debt can sink a company. Importantly, Ovintiv Inc. (NYSE:OVV) does carry debt. But should shareholders be worried about its use of debt?
禾倫·巴菲特曾經說過,「波動性遠非風險的同義詞」。因此,當你考慮某隻股票的風險時,就很明顯你需要考慮債務,因爲過多的債務可能會拖垮一家公司。重要的是,Ovintiv Inc.(NYSE:OVV)確實有債務。但股東們應該擔心它的債務使用嗎?
What Risk Does Debt Bring?
債務帶來了什麼風險?
Debt and other liabilities become risky for a business when it cannot easily fulfill those obligations, either with free cash flow or by raising capital at an attractive price. In the worst case scenario, a company can go bankrupt if it cannot pay its creditors. While that is not too common, we often do see indebted companies permanently diluting shareholders because lenders force them to raise capital at a distressed price. Of course, plenty of companies use debt to fund growth, without any negative consequences. The first thing to do when considering how much debt a business uses is to look at its cash and debt together.
當企業無法通過自由現金流或以有吸引力的價格籌集資金時,債務和其他負債變得有風險。 在最壞的情況下,如果企業無法償還債權人,公司可能會破產。 雖然這並不常見,但我們經常看到負債累累的公司永久性地稀釋股東,因爲貸款人強迫他們以困境價格籌集資金。 當然,許多公司使用債務資助增長,沒有任何負面影響。 考慮企業使用多少債務時,首先要做的是查看它的現金和債務。
What Is Ovintiv's Net Debt?
Ovintiv的淨債務是多少?
As you can see below, Ovintiv had US$6.09b of debt, at June 2024, which is about the same as the year before. You can click the chart for greater detail. Net debt is about the same, since the it doesn't have much cash.
正如下圖所示,截至2024年6月,Ovintiv的債務爲60.9億美元,與前一年相當。你可以點擊圖表以獲取更詳細的信息。由於現金不多,淨債務情況相當。
![1724328894501](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240822/42733821-0-e7ccf7e1b267fe9dc48149079ea0112a.webp/bigjpg)
How Healthy Is Ovintiv's Balance Sheet?
Ovintiv的資產負債表有多健康?
We can see from the most recent balance sheet that Ovintiv had liabilities of US$3.20b falling due within a year, and liabilities of US$6.28b due beyond that. Offsetting this, it had US$8.00m in cash and US$1.28b in receivables that were due within 12 months. So its liabilities outweigh the sum of its cash and (near-term) receivables by US$8.20b.
從最新的資產負債表可以看出,Ovintiv有US$3.2億的短期到期負債,以及US$6.28億的長期到期負債。相對而言,Ovintiv有US$8百萬現金和US$1.28億的應收款項,在12個月內到期。因此,其負債總和超過了其現金和(短期)應收款項的US$8.2億。
This deficit is considerable relative to its very significant market capitalization of US$11.2b, so it does suggest shareholders should keep an eye on Ovintiv's use of debt. Should its lenders demand that it shore up the balance sheet, shareholders would likely face severe dilution.
與其市值US$11.2億相比,這個赤字相當大,因此股東確實需要密切關注Ovintiv對債務的使用。如果債權人要求其增強資產負債表,股東可能面臨嚴重稀釋。
We measure a company's debt load relative to its earnings power by looking at its net debt divided by its earnings before interest, tax, depreciation, and amortization (EBITDA) and by calculating how easily its earnings before interest and tax (EBIT) cover its interest expense (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).
我們通過查看淨債務與利息、稅、折舊和攤銷前收益(EBITDA)之比以及計算其利息支出由收益前利息和稅(EBIT)覆蓋的程度來度量一家公司的債務負載相對於其收益能力的程度。此方法的優點在於我們同時考慮了債務的絕對量(以淨債務爲EBITDA)以及與該債務相關的實際利息支出(以其利息覆蓋倍數計算)。
While Ovintiv's low debt to EBITDA ratio of 1.2 suggests only modest use of debt, the fact that EBIT only covered the interest expense by 6.8 times last year does give us pause. But the interest payments are certainly sufficient to have us thinking about how affordable its debt is. In fact Ovintiv's saving grace is its low debt levels, because its EBIT has tanked 30% in the last twelve months. Falling earnings (if the trend continues) could eventually make even modest debt quite risky. When analysing debt levels, the balance sheet is the obvious place to start. But it is future earnings, more than anything, that will determine Ovintiv's ability to maintain a healthy balance sheet going forward. So if you want to see what the professionals think, you might find this free report on analyst profit forecasts to be interesting.
雖然Ovintiv的債務與EBITDA的比率僅爲1.2,表明其對債務的使用相對較少,但去年僅有6.8倍的EBIT覆蓋了利息支出,這使我們有些擔憂。但是利息支付肯定足以讓我們考慮到其債務的可負擔性。事實上,Ovintiv的救命稻草是其低債務水平,因爲其EBIT在過去的12個月中下降了30%。收益下降(如果趨勢持續下去)可能會使即使是適度的債務變得非常風險。在分析債務水平時,資產負債表是一個明顯的起點。但是未來的收益,更多的是將決定Ovintiv維持健康資產負債表的能力。所以,如果您想了解專業人士的意見,您可能會發現這份關於分析師盈利預測的免費報告很有趣。
But our final consideration is also important, because a company cannot pay debt with paper profits; it needs 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, Ovintiv recorded free cash flow of 48% of its EBIT, which is weaker than we'd expect. That weak cash conversion makes it more difficult to handle indebtedness.
但是我們最後考慮到的也很重要,因爲一家公司不能用紙面利潤償還債務,它需要冷硬現金。因此,我們不斷覈查有多少稅息前利潤可以轉化爲自由現金流。在最近三年中,Ovintiv的自由現金流相當於其稅息前利潤的48%,這比我們預期的要弱。這種較弱的現金轉化使得它更難處理債務。
Our View
我們的觀點
We'd go so far as to say Ovintiv's EBIT growth rate was disappointing. But on the bright side, its net debt to EBITDA is a good sign, and makes us more optimistic. Once we consider all the factors above, together, it seems to us that Ovintiv's debt is making it a bit risky. Some people like that sort of risk, but we're mindful of the potential pitfalls, so we'd probably prefer it carry less debt. There's no doubt that we learn most about debt from the balance sheet. However, not all investment risk resides within the balance sheet - far from it. For instance, we've identified 3 warning signs for Ovintiv that you should be aware of.
我們敢說Ovintiv的稅息前利潤增長速度令人失望。但好消息是,它的淨債務與稅息前利潤倍數是一個好跡象,讓我們更樂觀。當我們綜合考慮了以上所有因素後,我們覺得Ovintiv的債務使得它有一些風險。有些人喜歡這種風險,但我們對潛在的風險非常警惕,所以我們可能更願意它承擔較少的債務。毫無疑問,我們對債務的了解最多來自資產負債表。然而,並不是所有的投資風險都在資產負債表中,遠非如此。例如,我們已經發現了3個有關Ovintiv的警示信號,你應該知道。
If you're interested in investing in businesses that can grow profits without the burden of debt, then check out this free list of growing businesses that have net cash on the balance sheet.
如果您有興趣投資能夠在不負債的情況下增長利潤的企業,請查看這份免費列表,其中列出了在資產負債表上擁有淨現金的成長型企業。
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這篇文章是Simply Wall St的一般性文章。我們根據歷史數據和分析師預測提供評論,只使用公正的方法論,我們的文章並不意味着提供任何金融建議。文章不構成買賣任何股票的建議,也不考慮您的目標或您的財務狀況。我們的目標是帶給您基本數據驅動的長期關注分析。請注意,我們的分析可能不考慮最新的價格敏感公司公告或定性材料。Simply Wall St沒有任何股票頭寸。