5 Consumer Cyclical Stocks With A Huge Amount of Debt Relative to Cash

The following 5 companies in the Consumer Cyclical sector have the highest levels of debt-to-equity.  Note that this list excludes all companies with a market capitalization of less than $500 million:

  1. Brunswick Corporation (NYSE:BC):  The stock has traded in a 52-week range of $11.72 to $27.70 and most recently traded at $22.22.  It has total debt of $811.7 million, a total debt to equtiy ratio of 657.78, total cash of $500 million, a current ratio of 1.64, and a book value per share of $1.39.  Its market capitalization is $1.98 billion.  About the company:  Brunswick Corporation manufactures consumer products serving the outdoor and indoor active recreation markets.  The Company’s products include sterndrives, outboard and inboard marine engines, fitness, billiards, and bowling equipment.  Brunswick also manufactures pleasure, fishing, and high performance boats.
  2. The Goodyear Tire & Rubber Company (NYSE:GT):  The shares have traded in a 52-week range of $9.10 to $18.83 and most recently traded at $17.83 per share.  It has total debt of $5.28 billion and a total debt to equity ratio of 235.47.  It has $2.22 billion in cash, a current ratio of 1.67, and a book value per share of $3.39.  About the company:  The Goodyear Tire & Rubber Company develops, manufactures, distributes, and sells tires for most applications.  The Company also manufactures and markets several lines of rubber and rubber-related chemicals and provides automotive repair services.  Goodyear also retreads truck, aircraft, and heavy equipment tires.  The Company provides its products and services worldwide.
  3. Tata Motors Limited (NYSE:TTM):  The shares have traded in a 52-week range of $15.25 to $37.65 and most recently traded at $26.36 per share.  It has total debt of $8.19 billion and a total debt to equity ratio of 287.9.  It has $1.99 billion in cash, its current ratio for the most recent quarter cannot be calculated (its numbers are reported on an annual basis only), and its book value per share is $3.22.  Its market capitalization is $15.04 billion.  About the company:  Tata Motors Limited manufactures cars and commercial automotive vehicles in India.  The Company designs, manufactures and sells heavy commercial, medium commercial and small commercial vehicles including trucks, tankers, vans, buses, ambulances and minibuses.  Tata also manufactures small cars and sports utility vehicles.
  4. Herman Miller Inc. (NASDAQ:MLHR):  The shares have traded in a 52-week range of $16.23 to $28.14 and most recently traded at $24.93 per share.  It has total debt of $305.4 million and a total debt to equity ratio of 214.62.  It has $176.4 million in cash, a current ratio of 1.36, and a book value per share of $2.48.  Its market capitalization is $1.43 billion.  About the company:  Herman Miller, Inc. researches, designs, manufactures, and distributes interior office furnishings, furniture systems, products, and services.  The Company markets its products to companies, organizations, and individuals.
  5. Hanesbrands, Inc. (NYSE:HBI):  The shares have traded in a 52-week range of $22.24 to $33.10 and most recently traded at $32.35 per share.  The company has total debt of $2.27 billion, and total debt to equity of 365.65. It has $64.8 million in cash, a current ratio of 2.58, and a book value per share of $6.43.  Its market capitalization is $3.12 billion.  About the company: Hanesbrands, Inc. manufactures men’s, women’s, and children’s clothing.  The Company produces underwear, T-shirts, socks, sweatshirts, sleepwear, and shoes.

Note: Financial data is taken from Yahoo! Finance.  Selected other data is taken from Google Finance and publicly available SEC filings.  All data are assumed to be accurate.

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