Risk associated with the unique circumstances of a particular company, as they might affect the price of that company's securities.
Also: The possibility that a bond issuer will default by failing to repay principal plus interest in a timely manner. (Also referred to as “Financial Risk†“Default Risk†and “Credit Riskâ€)
That portion of total risk arising due to the uncertainty associated with the unlevered prospective discretionary cash flow of a business.
The risk of loss due to an adverse external environment such as high inflation affecting labour costs; an over-competitive market reducing margin; or legal, tax or regulatory changes in the markets.
The risk that is associated with a company as they might affect the price of the company’s stock.
The risk of the business invested in performing poorly. For example, the company losing business to competitors do to poor customer service.
The risk associated with investing in companies in very competitive industries or those with low barriers to entry. The industry may also be dominated by one or two companies t have deep pockets and are able to ward off competition. Additionally, business risk includes the risk t an industry will be overtaken by new technology and become obsolete. These factors can lead to a significant decline in the financial health of a company.
The uncertainty associated with a company`s earnings and its ability to provide positive returns to investors. onversion Premium — The difference between the price of a convertible security and the market price of the stock into which it can be converted.
The risk that a company issuing stock may not produce the sales and earning growth as forecast. In this case, the price of the share will remain depressed. Business risk affects both new and old businesses.
Risks that could impact the organization's ability to perform business or provide a service. They can be financial, regulatory or control oriented. Business-to-consumer e-commerce (B2C) Refers to the processes by which organisations conduct business electronically with their customers and or public at large using the Internet as the enabling technology.
The degree of uncertainty of realizing expected future returns of the business resulting from factors other than financial leverage. See FINANCIAL RISK.
The risk that a company issuing a security may not be financially healthy due to any number of factors, such as poor management, low product demand, or exorbitant operating expenses.
The risk that the cash flow of an issuer will be impaired because of adverse economic conditions, making it difficult for the issuer to meet its operating expenses.
A risk inherent in a business such as a change in supply or demand whereby, if things turn out badly, a trading loss will be suffered or profit reduced.
Exposure to uncertainty in economic value that cannot be marked-to-market.