XAI Octagon Floating Rate & Alternative Income Term Trust Fundamental Analysis (NYSE: XFLT-PA)
XAI Octagon Floating Rate & Alternative Income Term Trust Fundamental Analysis (NYSE: XFLT-PA)
XAI Octagon Floating Rate & Alternative Income Term Trust (NYSE: XFLT-PA) shows weak financial fundamentals with a PE ratio of -4.83, profit margin of -1.37%, and ROE of -14.93%. The company generates $0.0B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -114.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze XFLT-PA's fundamental strength across five key dimensions:
Efficiency Score
WeakXFLT-PA struggles to generate sufficient returns from assets.
Valuation Score
ExcellentXFLT-PA trades at attractive valuation levels.
Growth Score
WeakXFLT-PA faces weak or negative growth trends.
Financial Health Score
ExcellentXFLT-PA maintains a strong and stable balance sheet.
Profitability Score
WeakXFLT-PA struggles to sustain strong margins.
Key Financial Metrics
Is XFLT-PA Expensive or Cheap?
P/E Ratio
XFLT-PA trades at -4.83 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, XFLT-PA's PEG of 0.01 indicates potential undervaluation.
Price to Book
The market values XAI Octagon Floating Rate & Alternative Income Term Trust at 0.83 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -1.10 times EBITDA. This is generally considered low.
How Well Does XFLT-PA Make Money?
Net Profit Margin
For every $100 in sales, XAI Octagon Floating Rate & Alternative Income Term Trust keeps $-1.37 as profit after all expenses.
Operating Margin
Core operations generate -96.95 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-14.93 in profit for every $100 of shareholder equity.
ROA
XAI Octagon Floating Rate & Alternative Income Term Trust generates $-9.77 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
XAI Octagon Floating Rate & Alternative Income Term Trust generates strong operating cash flow of $60.37M, reflecting robust business health.
Free Cash Flow
XAI Octagon Floating Rate & Alternative Income Term Trust generates strong free cash flow of $60.37M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $3.61 in free cash annually.
FCF Yield
XFLT-PA converts 19.48% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-4.83
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.009
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.83
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.58
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.70
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.57
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.15
vs 25 benchmark
ROA
Return on assets percentage
-0.10
vs 25 benchmark
ROCE
Return on capital employed
-0.07
vs 25 benchmark
How XFLT-PA Stacks Against Its Sector Peers
| Metric | XFLT-PA Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -4.83 | 21.03 | Better (Cheaper) |
| ROE | -14.93% | 660.00% | Weak |
| Net Margin | -136.79% | -771.00% (disorted) | Weak |
| Debt/Equity | 0.70 | 0.86 | Neutral |
| Current Ratio | 1.57 | 871.88 | Neutral |
| ROA | -9.77% | 6589.00% | Weak |
XFLT-PA outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews XAI Octagon Floating Rate & Alternative Income Term Trust's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Value, Dividend, Cyclical
EPS CAGR
N/A
Industry Style: Value, Dividend, Cyclical
FCF CAGR
N/A
Industry Style: Value, Dividend, Cyclical