Agilent Technologies Inc (A)
Debt-to-equity ratio
| Oct 31, 2024 | Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | 2,729,000 | 2,284,000 |
| Total stockholders’ equity | US$ in thousands | 5,898,000 | 5,845,000 | 5,305,000 | 5,389,000 | 4,873,000 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.51 | 0.47 |
October 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $5,898,000K
= 0.00
The debt-to-equity ratio of Agilent Technologies Inc has been consistently low over the past five years, standing at 0.00 in each of the fiscal years 2020, 2021, 2022, 2023, and 2024. This indicates that the company has been primarily funded by equity rather than debt during this period.
However, it is important to note the significant increase in the debt-to-equity ratio from 0.47 in 2020 to 0.51 in 2021. This suggests that Agilent Technologies Inc may have taken on more debt relative to equity in 2021 compared to the previous year. Subsequently, the company reverted to a debt-free status in the following years.
The consistently low debt-to-equity ratio indicates that Agilent Technologies Inc has maintained a conservative financial structure and has not relied heavily on debt financing to fund its operations or growth. This may be perceived positively by investors and creditors as it indicates a lower risk of financial distress associated with high levels of debt.
Overall, based on the trend observed in the debt-to-equity ratio for Agilent Technologies Inc, the company appears to have a strong balance sheet with a prudent capital structure that emphasizes equity financing over debt.
Peer comparison
Oct 31, 2024