02-17-2018, 04:50 AM
(02-15-2018, 10:14 AM)DividendGarden Wrote:(02-14-2018, 10:28 PM)crimsonghost747 Wrote: This has been coming for a long time. AMAT has been doing exceptionally well recently and with low debt levels, the money has to go somewhere.
Just wondering what you mean by low debt levels. Is that in relation to peers, the industry, etc? Finviz shows their debt/equity at 0.57 and it's highlighted in red. I've been wanting to own AMAT for years but it's that debt level that's kept me out of it.
From their most recent report:
Cash: 6,799 million. Long term debt: 5,305 million.
Total current assets: 13,029 million. Total current liabilities 4,399 million and total liabilities 11,157 million.
Those, with a pretty solid cash generation (cash flow from operations of $1.4 billion last quarter) certainly seem more than manageable, I don't see any problems with the debt going forward. And neither does the management since they just doubled the dividend and announced a massive buyback authorization.
I might have missed something? Why are you afraid of the debt levels?