|Bid||1.0300 x 2200|
|Ask||1.1700 x 1800|
|Day's Range||1.0400 - 1.0900|
|52 Week Range||0.4100 - 3.2400|
|Beta (5Y Monthly)||3.49|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
Larry Jasinski became the CEO of ReWalk Robotics Ltd. (NASDAQ:RWLK) in 2012, and we think it's a good time to look at...
ReWalk (RWLK) delivered earnings and revenue surprises of 18.52% and 113.85%, respectively, for the quarter ended June 2020. Do the numbers hold clues to what lies ahead for the stock?
Shares of ReWalk Robotics Inc. (NASDAQ: RWLK) moved higher by 17.70% in the past three months. Before having a look at the importance of debt, let's look at how much debt ReWalk Robotics has.ReWalk Robotics's Debt Based on ReWalk Robotics's financial statement as of May 28, 2020, long-term debt is at $0.00 and current debt is at $5.70 million, amounting to $5.70 million in total debt. Adjusted for $16.60 million in cash-equivalents, the company's net debt is at $-10.90 million.Investors look at the debt-ratio to understand how much financial leverage a company has. ReWalk Robotics has $25.22 million in total assets, therefore making the debt-ratio 0.23. As a rule of thumb, a debt-ratio more than 1 indicates that a considerable portion of debt is funded by assets. A higher debt-ratio can also imply that the company might be putting itself at risk for default, if interest rates were to increase. However, debt-ratios vary widely across different industries. For example, a debt ratio of 35% might be higher for one industry, whereas normal for another.Importance of Debt Besides equity, debt is an important factor in the capital structure of a company, and contributes to its growth. Due to its lower financing cost compared to equity, it becomes an attractive option for executives trying to raise capital.However, due to interest-payment obligations, cash-flow of a company can be impacted. Having financial leverage also allows companies to use additional capital for business operations, allowing equity owners to retain excess profit, generated by the debt capital.See more from Benzinga * Recap: ReWalk Robotics Q2 Earnings * Earnings Scheduled For August 12, 2020 * 19 Healthcare Stocks Moving In Friday's Pre-Market Session(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.