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Coursera (Coursera) Financial Strength : 7 (As of Mar. 2024)


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What is Coursera Financial Strength?

Coursera has the Financial Strength Rank of 7.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

Coursera has no long-term debt (1). Coursera's debt to revenue ratio for the quarter that ended in Mar. 2024 was 0.01. As of today, Coursera's Altman Z-Score is 2.61.

(1) Note: An indication of "no long-term debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.


Competitive Comparison of Coursera's Financial Strength

For the Education & Training Services subindustry, Coursera's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Coursera's Financial Strength Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, Coursera's Financial Strength distribution charts can be found below:

* The bar in red indicates where Coursera's Financial Strength falls into.



Coursera Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Coursera's Interest Expense for the months ended in Mar. 2024 was $0.0 Mil. Its Operating Income for the months ended in Mar. 2024 was $-27.6 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was $0.0 Mil.

Coursera's Interest Coverage for the quarter that ended in Mar. 2024 is

Coursera had no long-term debt (1).

The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Coursera Inc has enough cash to cover all of its debt. Its financial situation is stable.

2. Debt to revenue ratio. The lower, the better.

Coursera's Debt to Revenue Ratio for the quarter that ended in Mar. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(4.365 + 0) / 676.272
=0.01

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Coursera has a Z-score of 2.61, indicating it is in Grey Zones. This implies that Coursera is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk.

Warning Sign:

Altman Z-score of 2.61 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Coursera  (NYSE:COUR) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

Coursera has the Financial Strength Rank of 7.


Coursera Financial Strength Related Terms

Thank you for viewing the detailed overview of Coursera's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


Coursera (Coursera) Business Description

Traded in Other Exchanges
Address
381 E. Evelyn Avenue, Mountain View, CA, USA, 94041
Coursera Inc is an online learning platform that connects learners, educators, and institutions with the goal of providing world-class educational content that is affordable, accessible, and relevant. It combines content, data, and technology into a single, unified platform that is customizable and extensible to both individual learners and institutions. The platform will contain a catalog of high-quality content and credentials, content developed by university and industry partners, data and machine learning drive personalized Learning, effective marketing, and skills Benchmarking and others. The company operates through three reporting segments: Consumer, Enterprise, and Degrees. Majority of revenue is generated from Consumer segment.
Executives
Jeffrey Nacey Maggioncalda director, officer: See Remarks 1804 EMBARCADERO ROAD, PALO ALTO CA 94303
Andrew Y. Ng director 381 E. EVELYN AVE., MOUNTAIN VIEW CA 94041
Shravan Goli officer: See Remarks 1040 AVENUE OF THE AMERICAS, NEW YORK NY 10016
Kenneth R Hahn officer: See Remarks C/O BORLAND SOFTWARE CORP, 100 ENTERPRISE WAY, SCOTTS VALLEY CA 95066-3249
Michele M Meyers officer: See Remarks 601 RIVERSIDE AVENUE, JACKSONVILLE FL 32207
Richard J Jacquet officer: See Remarks BELL MICRO, 1941 RINGWOOD AVE., SAN JOSE CA 95131
Alan B Cardenas officer: SVP, General Counsel 381 E. EVELYN AVENUE, MOUNTAIN VIEW CA 94041
Leah F. Belsky officer: See Remarks 381 E. EVELYN AVE., MOUNTAIN VIEW CA 94041
Amanda Clark director PO BOX 99900, LOUISVILLE KY 40269
Susan W. Muigai director C/O TRANSUNION, 555 WEST ADAMS STREET, CHICAGO IL 60661
Sabrina Simmons director GAP INC., 2 FOLSOM STREET, SAN FRANCISCO CA 94105
Carmen Chang director 2855 SAND HILL ROAD, MENLO PARK CA 94025
Christopher D. Mccarthy director 381 E. EVELYYN AVE., MOUNTAIN VIEW CA 94041
Mustafa S. Furniturewala officer: SVP, Engineering 381 E. EVELYN AVE., MOUNTAIN VIEW CA 94041
Xueyan Wang officer: See Remarks 381 E. EVELYN AVE., MOUNTAIN VIEW CA 94041