Equity Dilution Funding represents the total sum of cash a company has raised through the issuance of equity (eg. common stock, preferred stock and so on) during the last 12 months. If the number is negative, this could mean that the company is buying back shares.
This metric is used to calculatea nine-criteria scoring system that analyses a company's overall fundamental strength.
Piotroski assumes that an increase in the use of external financing is a red flag for financial risk.
Indeed, excessive equity funding can be seen as a bearish signal by many investors, as it could mean that a company burns through cash too quickly.
Accordingly, companies that are not increasing their use of external financing have a higher F-Score (all other factors being equal).
This is calculated on a TTM basis.
| Ticker | Name | Equity Funding | StockRank™ |
|---|---|---|---|
| LON:SHEL | Shell | -14617.00 | 98 |
| LON:HSBA | HSBC Holdings | -8433.00 | 76 |
| LON:BP. | BP | -7918.00 | 89 |
| LON:GLEN | Glencore | -3672.00 | 65 |
| LON:STAN | Standard Chartered | -3189.00 | 70 |