The company is Magellan Financial Group Limited ASX:MFG

Assessing Current Financing

Based on the growth stage of the firm, should the firm have high or low leverage?

Benefits of debt (Compare with competitor)

Tax benefit: What marginal tax rate does this firm face, and how does this measure up to the marginal tax rates of other firms?

Added discipline: Did this company have positive Jensen's alpha? What is the managerial ownership?

Costs of Debt

Expected bankruptcy: What is the interest coverage ratio?

What is the bond rating, if any?

Agency cost - what is the firm's price-to- book ratio, versus its competitor's?

Loss of flexibility: What is the (CAPEX - Depreciation)/Sales ratio versus its competitor's?

All references are in yahoo finance or bloomberg