Advanced Micro Devices Inc (AMD)

Financial leverage ratio

Dec 31, 2024 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
Total assets US$ in thousands 69,226,000 69,636,000 67,886,000 67,895,000 67,885,000 67,626,000 67,967,000 67,634,000 67,580,000 67,811,000 67,502,000 66,915,000 12,419,000 11,153,000 10,691,000 10,047,000 8,962,000 7,023,000 6,583,000 5,864,000
Total stockholders’ equity US$ in thousands 57,568,000 56,985,000 56,538,000 56,198,000 55,892,000 54,970,000 55,136,000 54,694,000 54,750,000 54,542,000 55,169,000 55,333,000 7,497,000 7,136,000 7,065,000 6,477,000 5,837,000 3,867,000 3,305,000 3,037,000
Financial leverage ratio 1.20 1.22 1.20 1.21 1.21 1.23 1.23 1.24 1.23 1.24 1.22 1.21 1.66 1.56 1.51 1.55 1.54 1.82 1.99 1.93

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $69,226,000K ÷ $57,568,000K
= 1.20

The financial leverage ratio of Advanced Micro Devices Inc has shown fluctuations over the past few years, ranging from 1.20 to 1.99. This ratio indicates the company's level of debt relative to its equity and can provide insights into its financial risk and stability.

It is noted that the financial leverage ratio increased from 1.93 in March 2020 to 1.99 in June 2020, reflecting a potential increase in debt relative to equity during that period. Subsequently, the ratio decreased to 1.54 by December 2020, suggesting a possible reduction in debt levels or an increase in equity.

The ratio continued to fluctuate in the following years, with values ranging between 1.21 and 1.66. The decreasing trend observed from March 2022 to December 2024, where the ratio ranged between 1.20 and 1.24, may indicate a declining reliance on debt financing or an increase in equity investment during this period.

Overall, the varying levels of the financial leverage ratio for Advanced Micro Devices Inc suggest changes in the capital structure or financial strategy of the company over the years, impacting its risk profile and financial health.


See also:

Advanced Micro Devices Inc Financial Leverage (Quarterly Data)