Advanced Micro Devices Inc (AMD)
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 | 1,717,000 | 2,467,000 | 1,000 | 330,000 | 486,000 |
| Total stockholders’ equity | US$ in thousands | 55,892,000 | 54,750,000 | 7,497,000 | 5,837,000 | 2,827,000 |
| Debt-to-equity ratio | 0.03 | 0.05 | 0.00 | 0.06 | 0.17 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,717,000K ÷ $55,892,000K
= 0.03
The debt-to-equity ratio of Advanced Micro Devices Inc has fluctuated over the past five years. It decreased significantly from 0.17 in 2019 to 0.00 in 2021, indicating a substantial reduction in debt relative to equity. This could suggest a stronger financial position and decreased financial risk.
However, the ratio increased again in 2022 and 2023, reaching 0.05 and 0.03 respectively. While these ratios are still relatively low, they do indicate a slight increase in debt compared to equity over the past two years.
Overall, the downward trend from 2019 to 2021 followed by a slight increase in 2022 and 2023 suggests that Advanced Micro Devices Inc has been effectively managing its debt levels, but investors should continue to monitor the company's ability to maintain a healthy balance between debt and equity.
Peer comparison
Dec 31, 2023