Alcoa Corp (AA)
Debt-to-capital ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,732,000 | 1,809,000 | 1,808,000 | 1,806,000 | 1,806,000 | 1,725,000 | 1,725,000 | 1,727,000 | 1,726,000 | 1,724,000 | 2,216,000 | 2,214,000 | 2,463,000 | 2,538,000 | 1,800,000 | 1,801,000 | 1,799,000 | 1,805,000 | 1,804,000 | 1,802,000 |
| Total stockholders’ equity | US$ in thousands | 4,251,000 | 4,509,000 | 4,842,000 | 4,690,000 | 5,076,000 | 5,371,000 | 5,666,000 | 4,579,000 | 4,672,000 | 3,878,000 | 3,769,000 | 3,248,000 | 3,311,000 | 3,395,000 | 3,705,000 | 4,275,000 | 4,112,000 | 4,539,000 | 4,895,000 | 5,157,000 |
| Debt-to-capital ratio | 0.29 | 0.29 | 0.27 | 0.28 | 0.26 | 0.24 | 0.23 | 0.27 | 0.27 | 0.31 | 0.37 | 0.41 | 0.43 | 0.43 | 0.33 | 0.30 | 0.30 | 0.28 | 0.27 | 0.26 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,732,000K ÷ ($1,732,000K + $4,251,000K)
= 0.29
The debt-to-capital ratio for Alcoa Corp has fluctuated over the past eight quarters, ranging from 0.23 to 0.30. This ratio indicates the proportion of a company's capital that is financed through debt. A higher ratio suggests a higher level of debt relative to total capital, which may increase financial risk.
In the most recent quarter, Q4 2023, Alcoa Corp's debt-to-capital ratio stood at 0.30, which is higher compared to the previous quarter. This could signify an increase in the company's reliance on debt financing.
On the other hand, the ratio had decreased from Q2 2022 to Q3 2022, indicating a potential reduction in the company's debt burden relative to its total capital.
It is essential for investors and stakeholders to closely monitor changes in the debt-to-capital ratio, as it can provide insights into the financial health and risk profile of the company.
Peer comparison
Dec 31, 2023