Apple Inc (AAPL)
Solvency ratios
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.23 | 0.26 | 0.27 | 0.27 | 0.27 | 0.29 | 0.29 | 0.29 | 0.28 | 0.28 | 0.29 | 0.28 | 0.31 | 0.32 | 0.32 | 0.28 | 0.30 | 0.30 | 0.28 | 0.27 |
| Debt-to-capital ratio | 0.60 | 0.56 | 0.55 | 0.56 | 0.61 | 0.62 | 0.61 | 0.64 | 0.66 | 0.62 | 0.61 | 0.60 | 0.63 | 0.62 | 0.61 | 0.60 | 0.60 | 0.57 | 0.53 | 0.51 |
| Debt-to-equity ratio | 1.51 | 1.29 | 1.24 | 1.28 | 1.53 | 1.63 | 1.56 | 1.76 | 1.95 | 1.63 | 1.53 | 1.48 | 1.73 | 1.65 | 1.57 | 1.50 | 1.51 | 1.30 | 1.14 | 1.04 |
| Financial leverage ratio | 6.41 | 4.97 | 4.55 | 4.77 | 5.67 | 5.56 | 5.34 | 6.11 | 6.96 | 5.79 | 5.20 | 5.30 | 5.56 | 5.13 | 4.87 | 5.35 | 4.96 | 4.39 | 4.09 | 3.80 |
The solvency ratios of Apple Inc over the past five years indicate a stable financial position with moderate leverage levels. The debt-to-assets ratio has remained relatively consistent, hovering between 0.23 and 0.32, suggesting that Apple has been able to maintain a healthy balance between debt and assets.
The debt-to-capital ratio has shown some fluctuation but generally stayed within the range of 0.51 to 0.66. This ratio indicates the extent to which debt funds the company's operations compared to equity, and Apple has maintained a reasonable mix of debt and equity financing during this period.
The debt-to-equity ratio has also shown stability, ranging from 1.04 to 1.95. This ratio highlights the proportion of debt relative to equity in the company's capital structure, and Apple's ratios suggest a moderate reliance on debt to finance its operations.
The financial leverage ratio, which indicates the extent to which a company uses debt to finance its assets, has shown some variation but has generally remained within a range of 3.80 to 6.96. This indicates that Apple has been able to effectively manage its debt levels relative to its equity, maintaining a reasonable level of leverage.
Overall, the solvency ratios of Apple Inc suggest that the company has maintained a healthy financial position with a manageable level of debt and effective use of leverage to support its operations and growth strategies.
Coverage ratios
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 122.97 | 60.69 | 39.97 | 30.88 | 29.92 | 30.64 | 33.11 | 36.03 | 41.64 | 43.40 | 44.72 | 44.27 | 42.29 | 39.69 | 34.96 | 28.42 | 24.35 | 23.41 | 21.85 | 20.52 |
The interest coverage ratio of Apple Inc has shown a generally positive trend over the past few years, indicating the company's ability to meet its interest obligations comfortably. The ratio has consistently remained above 1, with higher values indicating a stronger ability to cover interest expenses.
In the most recent period, as of September 30, 2024, Apple's interest coverage ratio stands at 122.97, reflecting a significant improvement compared to the previous quarters. This high ratio suggests that Apple's operating income is substantially higher than its interest payments, indicating a robust financial position and low risk of default on debt obligations.
Overall, the upward trend in Apple's interest coverage ratio demonstrates the company's solid financial health and efficient management of debt servicing. Investors and creditors may view this positively as it signifies a lower risk of financial distress and a higher capacity to manage debt obligations effectively.