Alaska Air Group Inc (ALK)
Debt-to-equity ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 2,182,000 | 1,883,000 | 2,173,000 | 2,357,000 | 1,264,000 |
| Total stockholders’ equity | US$ in thousands | 4,113,000 | 3,816,000 | 3,801,000 | 2,988,000 | 4,331,000 |
| Debt-to-equity ratio | 0.53 | 0.49 | 0.57 | 0.79 | 0.29 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $2,182,000K ÷ $4,113,000K
= 0.53
The debt-to-equity ratio of Alaska Air Group Inc. has fluctuated over the past five years.
In 2019, the company had a relatively low debt-to-equity ratio of 0.35, indicating a strong equity position compared to its debt level.
However, in 2020, the ratio jumped significantly to 1.17, suggesting a higher reliance on debt to finance its operations and investments during that period.
Subsequently, the ratio decreased in 2021 to 0.67, indicating a reduction in the company's debt relative to its equity as compared to the previous year.
In 2022, the debt-to-equity ratio decreased further to 0.57, indicating a continued improvement in the company's debt management.
By the end of 2023, the ratio had increased slightly to 0.62, suggesting a moderate increase in the company's debt levels compared to the previous year, but still maintaining a reasonable balance between debt and equity in its capital structure.
Overall, the trend in the debt-to-equity ratio for Alaska Air Group Inc. shows fluctuations over the years, with some years indicating higher debt levels relative to equity, while others reflect improved debt management and a stronger equity position.
Peer comparison
Dec 31, 2023