Amazon.com Inc (AMZN)

Debt-to-capital ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Long-term debt	US$ in thousands	58,314,000	67,150,000	48,744,000	31,816,000	23,414,000
Total stockholders’ equity	US$ in thousands	201,875,000	146,043,000	138,245,000	93,404,000	62,060,000
Debt-to-capital ratio		0.22	0.31	0.26	0.25	0.27

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $58,314,000K ÷ ($58,314,000K + $201,875,000K)
= 0.22

The debt-to-capital ratio of Amazon.com Inc. has fluctuated over the past five years, indicating changes in the company's capital structure and debt levels relative to its total capital. The ratio decreased from 0.27 in 2019 to 0.22 in 2023, reflecting a reduction in debt relative to total capital in the most recent year. This decrease suggests that Amazon may have been paying down debt or increasing its equity base.

The ratio then increased to 0.31 in 2022 before decreasing again to 0.26 in 2021 and 0.25 in 2020. These fluctuations could be due to various factors such as changes in borrowing levels, the issuance of new equity, or fluctuations in the company's market value.

Overall, Amazon's debt-to-capital ratio has shown some variability, but in recent years, it has generally trended downward, indicating a potential improvement in the company's debt management and capital structure. Investors and analysts may view a decreasing debt-to-capital ratio positively as it suggests a lower reliance on debt financing and potentially lower financial risk.