Ameren Corp (AEE)
Solvency ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 2.61 | 3.60 | 3.61 | 3.68 | 3.58 |
Ameren Corp's solvency ratios indicate a stable financial position with a low level of debt compared to its assets, capital, and equity. The Debt-to-assets ratio, Debt-to-capital ratio, and Debt-to-equity ratio have consistently been at 0.00 from 2020 to 2024, suggesting that the company is not heavily reliant on debt to finance its operations.
The Financial leverage ratio, however, has shown some fluctuations over the years, ranging from 3.58 in 2020 to 2.61 in 2024. Despite the decrease in 2024, the ratio remains relatively stable, indicating that the company has a moderate level of financial leverage to support its operations.
Overall, Ameren Corp's solvency ratios reflect a strong financial position with minimal debt burden and a reasonable level of leverage to support its operations and growth strategies.
Coverage ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Interest coverage | 2.92 | 3.37 | 3.58 | 4.01 | 3.30 |
The interest coverage ratio of Ameren Corp has shown some variability over the past five years. In 2020, the ratio was 3.30, indicating that the company earned 3.30 times the amount needed to cover its interest expenses. This ratio improved in 2021 to 4.01, reflecting a stronger ability to meet interest obligations. However, there was a slight decline in 2022 to 3.58, followed by a further decrease in 2023 to 3.37. By the end of 2024, the interest coverage ratio fell to 2.92, suggesting a potential weakening in the company's ability to cover its interest payments with operating income. It is important for Ameren Corp to closely monitor this ratio to ensure continued financial stability and ability to meet debt obligations.