Ametek Inc (AME)

Ametek Inc's solvency ratios indicate a strong financial position with consistently low debt levels relative to its assets, capital, and equity over the years. The Debt-to-assets ratio has remained at 0.00 for each year from 2020 to 2024, suggesting that the company is not heavily reliant on debt to finance its operations and assets.

Similarly, the Debt-to-capital ratio and Debt-to-equity ratio also stand at 0.00 for all five years, indicating that the company's capital structure is predominantly equity-based. This implies a lower financial risk as the company has less debt exposure.

The Financial leverage ratio, which provides insight into the company's use of debt relative to its equity, shows a gradual decreasing trend from 1.74 in 2020 to 1.52 in 2024. This indicates that the company has been reducing its reliance on debt financing over time relative to its equity, further strengthening its solvency position and financial stability.

Overall, Ametek Inc's solvency ratios demonstrate a healthy financial structure with a minimal debt burden, which could provide stability and resilience in challenging economic conditions.

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Coverage ratios

The interest coverage ratio for Ametek Inc has shown a positive trend over the past five years, indicating the company's ability to meet its interest obligations comfortably. The ratio increased steadily from 13.58 in December 2020 to 20.87 in December 2023, reflecting an improvement in the company's ability to cover its interest expenses with its operating income.

However, there was a slight decrease in the interest coverage ratio in December 2024 to 15.71, which could be an indication of increased interest expenses relative to operating income during that period. Overall, Ametek Inc has maintained a healthy interest coverage ratio, suggesting that the company has sufficient earnings to meet its interest payments and is in a strong financial position to handle its debt obligations.