Aptiv PLC (APTV)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 24,427,000 | 21,884,000 | 18,007,000 | 17,522,000 | 13,459,000 |
| Total stockholders’ equity | US$ in thousands | 11,548,000 | 8,809,000 | 8,347,000 | 7,905,000 | 3,819,000 |
| Financial leverage ratio | 2.12 | 2.48 | 2.16 | 2.22 | 3.52 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $24,427,000K ÷ $11,548,000K
= 2.12
The financial leverage ratio of Aptiv PLC has fluctuated over the past five years. It decreased from 3.52 in 2019 to 2.12 in 2023, indicating a significant improvement in the company's leverage position. However, there was a slight increase in 2022, with the ratio reaching 2.48, before slightly declining in the following years. Overall, Aptiv PLC has managed to reduce its financial leverage ratio over the past five years, which suggests a better balance between debt and equity in its capital structure. This trend indicates that the company may have taken strategic measures to strengthen its financial position and reduce its reliance on debt financing.
Peer comparison
Dec 31, 2023