Amazon.com Inc (AMZN)

Debt-to-equity ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Long-term debt	US$ in thousands	52,623,000	58,314,000	67,150,000	48,744,000	31,816,000
Total stockholders’ equity	US$ in thousands	285,970,000	201,875,000	146,043,000	138,245,000	93,404,000
Debt-to-equity ratio		0.18	0.29	0.46	0.35	0.34

December 31, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $52,623,000K ÷ $285,970,000K
= 0.18

The debt-to-equity ratio of Amazon.com Inc has shown fluctuations over the past five years. In December 2020, the ratio was 0.34, indicating that the company had $0.34 in debt for every $1 of equity. This ratio increased slightly to 0.35 by December 2021, suggesting a marginal increase in debt relative to equity.

However, in December 2022, there was a more significant increase in the debt-to-equity ratio to 0.46, indicating a higher level of debt compared to equity. This may suggest that Amazon.com Inc took on more debt during that period.

By December 2023, the debt-to-equity ratio decreased to 0.29, indicating a reduction in debt relative to equity compared to the previous year. This could signify a favorable trend of deleveraging or increased equity investment.

By the end of December 2024, the debt-to-equity ratio further declined to 0.18, signaling a lower level of debt in relation to equity. This reduction could indicate improved financial health and a stronger equity position for Amazon.com Inc.

Overall, while the debt-to-equity ratio of Amazon.com Inc has fluctuated, the general trend seems to show a potential effort towards reducing debt levels and strengthening the equity position over the five-year period.