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Is Solventum (NYSE:SOLV) A Risky Investment?

Is Solventum (NYSE:SOLV) A Risky Investment?

Solventum(紐交所:SOLV)是一種風險投資嗎?
Simply Wall St ·  00:05

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility of prices, but whether you will suffer a permanent loss of capital.' 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. We note that Solventum Corporation (NYSE:SOLV) does have debt on its balance sheet. But should shareholders be worried about its use of debt?

傳奇基金經理李錄(查理·芒格的支持者)曾說過:「最大的投資風險不是價格的波動,而是你是否會遭受資本的永久損失。」 所以當你考慮任何特定股票的風險時,需要考慮債務,因爲過多的債務可能會拖垮一家公司。我們注意到Solventum Corporation(紐交所:SOLV)確實在資產負債表上有債務。但股東們是否應該擔心它所使用的債務?

When Is Debt A Problem?

什麼時候負債才是一個問題?

Generally speaking, debt only becomes a real problem when a company can't easily pay it off, either by raising capital or with its own cash flow. 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, debt can be an important tool in businesses, particularly capital heavy businesses. The first step when considering a company's debt levels is to consider its cash and debt together.

通常來說,只有當一家公司不能輕易地償還債務時,債務才會成爲真正的問題,藉助於籌集資本或其自身的現金流。 在最壞的情況下,如果一家公司無法償還其債權人,可以破產。 然而,一個更常見的(但仍然痛苦的)情況是,它必須以低價籌集新的股本資本,從而永久稀釋股東。 當然,債務可以是企業的重要工具,特別是對於重資產企業而言。 考慮公司的債務水平時的第一步是將其現金和債務放在一起考慮。

How Much Debt Does Solventum Carry?

Solventum承擔了多少債務?

As you can see below, at the end of September 2024, Solventum had US$8.11b of debt, up from none a year ago. Click the image for more detail. However, because it has a cash reserve of US$772.0m, its net debt is less, at about US$7.34b.

正如您所見,2024年9月底,Solventum的債務爲81.1億美元,比一年前增加,而去年則爲零。點擊圖片以獲取更多詳細信息。 然而,由於其現金儲備爲77200萬美元,其淨債務較少,約爲73.4億美元。

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NYSE:SOLV Debt to Equity History November 12th 2024
紐交所:SOLV資產負債歷史數據2024年11月12日

A Look At Solventum's Liabilities

審視Solventum的負債情況

The latest balance sheet data shows that Solventum had liabilities of US$2.90b due within a year, and liabilities of US$8.65b falling due after that. Offsetting these obligations, it had cash of US$772.0m as well as receivables valued at US$1.33b due within 12 months. So its liabilities outweigh the sum of its cash and (near-term) receivables by US$9.45b.

最新的資產負債表數據顯示,Solventum有着近期到期的29億美元負債,以及之後到期的86.5億美元負債。 抵消這些義務的是,它持有7702萬美元的現金以及12個月內到期的13.3億美元應收賬款。 因此,其負債超過其現金和(近期)應收賬款總和94.5億美元。

This is a mountain of leverage even relative to its gargantuan market capitalization of US$12.5b. This suggests shareholders would be heavily diluted if the company needed to shore up its balance sheet in a hurry.

即便相對於其125億美元龐大的市值來說,這是一座負債之山。 這表明如果公司需要匆忙籌集資金來強化資產負債表,股東們將面臨嚴重攤薄。

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). Thus we consider debt relative to earnings both with and without depreciation and amortization expenses.

爲了對公司的債務相對於其收益進行規模適應,我們計算其淨債務與利息、稅、折舊和攤銷前收益(EBITDA)之比及其稅前收益(EBIT)與利息支出之比(利息保障倍數)。因此,我們既考慮到不包括折舊和攤銷費用在內的收益,又包括折舊和攤銷費用的收益相對於債務。

Solventum has a debt to EBITDA ratio of 4.0 and its EBIT covered its interest expense 5.0 times. This suggests that while the debt levels are significant, we'd stop short of calling them problematic. Importantly, Solventum's EBIT fell a jaw-dropping 22% in the last twelve months. If that earnings trend continues then paying off its debt will be about as easy as herding cats on to a roller coaster. When analysing debt levels, the balance sheet is the obvious place to start. But ultimately the future profitability of the business will decide if Solventum 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.

Solventum的債務與EBITDA比率爲4.0,其EBIt覆蓋5.0倍利息費用。 這表明儘管債務水平較高,我們不願意稱之爲有問題。 重要的是,Solventum的EBIt在過去十二個月驚人地下降了22%。 如果這種盈利趨勢持續下去,償還債務將像讓貓跑上過山車一樣困難。 在分析債務水平時,資產負債表是顯而易見的起點。 但最終業務的未來盈利能力將決定Solventum是否能夠隨着時間加強其資產負債表。 因此,如果你專注於未來,可以查看這份展示分析師利潤預測的免費報告。

Finally, a business needs free cash flow to pay off debt; accounting profits just don't cut it. So we clearly need to look at whether that EBIT is leading to corresponding free cash flow. During the last three years, Solventum generated free cash flow amounting to a very robust 91% of its EBIT, more than we'd expect. That positions it well to pay down debt if desirable to do so.

最後,一家企業需要自由現金流來償還債務;會計利潤並不能解決問題。 所以我們明顯需要查看這個EBIt是否帶來相應的自由現金流。 在過去三年中,Solventum產生了相當強勁的自由現金流,金額相當於其EBIt的91%,超出我們的預期。 這使其有足夠的能力償還債務,如果需要的話。

Our View

我們的觀點

Solventum's EBIT growth rate and net debt to EBITDA definitely weigh on it, in our esteem. But the good news is it seems to be able to convert EBIT to free cash flow with ease. We should also note that Medical Equipment industry companies like Solventum commonly do use debt without problems. When we consider all the factors discussed, it seems to us that Solventum is taking some risks with its use of debt. While that debt can boost returns, we think the company has enough leverage now. 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. Be aware that Solventum is showing 2 warning signs in our investment analysis , and 1 of those is a bit concerning...

Solventum的EBIt增長率和淨債務與EBITDA比確實使我們對其評價產生影響。但好消息是,它似乎能夠輕鬆將EBIt轉化爲自由現金流。我們還應該注意,像Solventum這樣的醫療設備行業公司通常使用債務而沒有問題。當我們考慮到所有討論的因素時,我們認爲Solventum在使用債務方面存在一些風險。雖然債務可以提高回報,但我們認爲公司現在已經有足夠的槓桿。在分析債務水平時,資產負債表是顯而易見的起點。然而,並非所有投資風險都存在於資產負債表中 - 遠非如此。請注意,我們在投資分析中發現Solventum有兩個警示信號,其中一個值得關注。

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.

當然,如果您是那種喜歡購買沒有債務負擔的股票的投資者,那麼不要猶豫,立即發現我們獨家的淨現金增長股票列表。

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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Simply Wall St的這篇文章是一般性質的。我們僅基於歷史數據和分析師預測提供評論,使用公正的方法,我們的文章並非意在提供財務建議。這並不構成買入或賣出任何股票的建議,並且不考慮您的目標或財務狀況。我們旨在爲您帶來基於基礎數據驅動的長期聚焦分析。請注意,我們的分析可能未考慮最新的價格敏感公司公告或定性材料。Simply Wall St對提及的任何股票都沒有持倉。

譯文內容由第三人軟體翻譯。


以上內容僅用作資訊或教育之目的,不構成與富途相關的任何投資建議。富途竭力但無法保證上述全部內容的真實性、準確性和原創性。
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