St Joe Current Debt
| JOE Stock | USD 58.84 1.04 1.80% |
St Joe Company holds a debt-to-equity ratio of 0.783. At present, St Joe's Net Debt is projected to increase significantly based on the last few years of reporting. The current year's Short Term Debt is expected to grow to about 7.5 M, whereas Short and Long Term Debt is forecasted to decline to about 4 M. St Joe's financial risk is the risk to St Joe stockholders that is caused by an increase in debt.
Asset vs Debt
Equity vs Debt
St Joe's liquidity is one of the most fundamental aspects of both its future profitability and its ability to meet different types of ongoing financial obligations. St Joe's cash, liquid assets, total liabilities, and shareholder equity can be utilized to evaluate how much leverage the Company is using to sustain its current operations. For traders, higher-leverage indicators usually imply a higher risk to shareholders. In addition, it helps JOE Stock's retail investors understand whether an upcoming fall or rise in the market will negatively affect St Joe's stakeholders.
For most companies, including St Joe, marketable securities, inventories, and receivables are the most common assets that could be converted to cash. However, for the executing running St Joe Company the most critical issue when dealing with liquidity needs is whether the current assets are properly aligned with its current liabilities. If not, management will need to obtain alternative financing to ensure that there are always enough cash equivalents on the balance sheet in reserve to pay for obligations.
Price Book 4.8637 | Book Value 11.822 | Operating Margin 0.1817 | Profit Margin 0.201 | Return On Assets 0.0397 |
JOE |
St Joe Financial Leverage Rating
St Joe Company bond ratings play a critical role in determining how much St Joe have to pay to access credit markets, i.e., the amount of interest on their issued debt. The threshold between investment-grade and speculative-grade ratings has important market implications for St Joe's borrowing costs.| Piotroski F Score | 4 Poor |
| Beneish M Score | -3.07 Unlikely Manipulator |
St Joe Company Debt to Cash Allocation
As St Joe Company follows its natural business cycle, the capital allocation decisions will not magically go away. St Joe's decision-makers have to determine if most of the cash flows will be poured back into or reinvested in the business, reserved for other projects beyond operational needs, or paid back to stakeholders and investors. Many companies eventually find out that there is only so much market out there to be conquered, and adding the next product or service is only half as profitable per unit as their current endeavors. Eventually, the company will reach a point where cash flows are strong, and extra cash is available but not fully utilized. In this case, the company may start buying back its stock from the public or issue more dividends.
The company has 632.89 M in debt with debt to equity (D/E) ratio of 0.78, which is OK given its current industry classification. St Joe Company has a current ratio of 2.44, demonstrating that it is liquid and is capable to disburse its financial commitments when the payables are due. Debt can assist St Joe until it has trouble settling it off, either with new capital or with free cash flow. So, St Joe's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like St Joe Company sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for JOE to invest in growth at high rates of return. When we think about St Joe's use of debt, we should always consider it together with cash and equity.St Joe Total Assets Over Time
St Joe Assets Financed by Debt
Typically, companies with high debt-to-asset ratios are said to be highly leveraged. The higher the ratio, the greater risk will be associated with the St Joe's operation. In addition, a high debt-to-assets ratio may indicate a low borrowing capacity of St Joe, which in turn will lower the firm's financial flexibility. Like all other financial ratios, a a St Joe debt ratio should be compared their industry average or other competing firms.JOE Short Long Term Debt Total
Short Long Term Debt Total |
|
Understaning St Joe Use of Financial Leverage
St Joe financial leverage ratio helps in determining the effect of debt on the overall profitability of the company. It measures St Joe's total debt position, including all of outstanding debt obligations, and compares it with the equity. In simple terms, the high financial leverage means the cost of production, together with running the business day-to-day, is high, whereas, lower financial leverage implies lower fixed cost investment in the business and generally considered by investors to be a good sign. So if creditors own a majority of St Joe assets, the company is considered highly leveraged. Understanding the composition and structure of overall St Joe debt and outstanding corporate bonds gives a good idea of how risky the capital structure of a business and if it is worth investing in it. Financial leverage can amplify the potential profits to St Joe's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of St Joe's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets).
| Last Reported | Projected for Next Year | ||
| Short and Long Term Debt Total | 632.9 M | 664.5 M | |
| Net Debt | 546.8 M | 574.2 M | |
| Short Term Debt | 4.7 M | 7.5 M | |
| Long Term Debt | 627.1 M | 658.5 M | |
| Long Term Debt Total | 204.5 M | 180.4 M | |
| Short and Long Term Debt | 4.2 M | 4 M | |
| Net Debt To EBITDA | 3.28 | 3.44 | |
| Debt To Equity | 0.93 | 0.97 | |
| Interest Debt Per Share | 11.38 | 11.95 | |
| Debt To Assets | 0.42 | 0.44 | |
| Long Term Debt To Capitalization | 0.48 | 0.50 | |
| Total Debt To Capitalization | 0.48 | 0.50 | |
| Debt Equity Ratio | 0.93 | 0.97 | |
| Debt Ratio | 0.42 | 0.44 | |
| Cash Flow To Debt Ratio | 0.16 | 0.16 |
Building efficient market-beating portfolios requires time, education, and a lot of computing power!
The Portfolio Architect is an AI-driven system that provides multiple benefits to our users by leveraging cutting-edge machine learning algorithms, statistical analysis, and predictive modeling to automate the process of asset selection and portfolio construction, saving time and reducing human error for individual and institutional investors.
Try AI Portfolio ArchitectCheck out the analysis of St Joe Fundamentals Over Time. You can also try the Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.
Complementary Tools for JOE Stock analysis
When running St Joe's price analysis, check to measure St Joe's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy St Joe is operating at the current time. Most of St Joe's value examination focuses on studying past and present price action to predict the probability of St Joe's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move St Joe's price. Additionally, you may evaluate how the addition of St Joe to your portfolios can decrease your overall portfolio volatility.
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets |
Is St Joe's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of St Joe. If investors know JOE will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about St Joe listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.339 | Dividend Share 0.46 | Earnings Share 1.39 | Revenue Per Share 6.929 | Quarterly Revenue Growth 0.203 |
The market value of St Joe Company is measured differently than its book value, which is the value of JOE that is recorded on the company's balance sheet. Investors also form their own opinion of St Joe's value that differs from its market value or its book value, called intrinsic value, which is St Joe's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because St Joe's market value can be influenced by many factors that don't directly affect St Joe's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between St Joe's value and its price as these two are different measures arrived at by different means. Investors typically determine if St Joe is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, St Joe's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
What is Financial Leverage?
Financial leverage is the use of borrowed money (debt) to finance the purchase of assets with the expectation that the income or capital gain from the new asset will exceed the cost of borrowing. In most cases, the debt provider will limit how much risk it is ready to take and indicate a limit on the extent of the leverage it will allow. In the case of asset-backed lending, the financial provider uses the assets as collateral until the borrower repays the loan. In the case of a cash flow loan, the general creditworthiness of the company is used to back the loan. The concept of leverage is common in the business world. It is mostly used to boost the returns on equity capital of a company, especially when the business is unable to increase its operating efficiency and returns on total investment. Because earnings on borrowing are higher than the interest payable on debt, the company's total earnings will increase, ultimately boosting stockholders' profits.Leverage and Capital Costs
The debt to equity ratio plays a role in the working average cost of capital (WACC). The overall interest on debt represents the break-even point that must be obtained to profitability in a given venture. Thus, WACC is essentially the average interest an organization owes on the capital it has borrowed for leverage. Let's say equity represents 60% of borrowed capital, and debt is 40%. This results in a financial leverage calculation of 40/60, or 0.6667. The organization owes 10% on all equity and 5% on all debt. That means that the weighted average cost of capital is (.4)(5) + (.6)(10) - or 8%. For every $10,000 borrowed, this organization will owe $800 in interest. Profit must be higher than 8% on the project to offset the cost of interest and justify this leverage.Benefits of Financial Leverage
Leverage provides the following benefits for companies:- Leverage is an essential tool a company's management can use to make the best financing and investment decisions.
- It provides a variety of financing sources by which the firm can achieve its target earnings.
- Leverage is also an essential technique in investing as it helps companies set a threshold for the expansion of business operations. For example, it can be used to recommend restrictions on business expansion once the projected return on additional investment is lower than the cost of debt.