ACADIA Pharmaceuticals Inc (ACAD)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 1,187,760 | 748,956 | 587,812 | 700,122 | 782,616 |
| Total stockholders’ equity | US$ in thousands | 732,793 | 431,755 | 400,413 | 540,894 | 627,009 |
| Financial leverage ratio | 1.62 | 1.73 | 1.47 | 1.29 | 1.25 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,187,760K ÷ $732,793K
= 1.62
The financial leverage ratio of ACADIA Pharmaceuticals Inc has shown a generally increasing trend over the past five years, indicating an escalation in the company's reliance on debt financing. The ratio increased from 1.25 in December 31, 2020, to 1.62 in December 31, 2024, reaching a peak of 1.73 in December 31, 2023.
This suggests that as of December 31, 2024, the company's financial leverage stood at 1.62, signifying that for every dollar of equity, ACADIA Pharmaceuticals Inc had $1.62 of debt.
Overall, the rising trend in the financial leverage ratio may indicate that the company has been taking on more debt to fuel its operations and growth, which could potentially lead to increased financial risk and higher interest expenses in the future. It is important for stakeholders to monitor this ratio closely to assess the company's ability to manage its debt levels effectively.
Peer comparison
Dec 31, 2024