Arrowhead Pharmaceuticals Inc (ARWR)
Debt-to-equity ratio
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 393,183 | 0 | — | — | — |
| Total stockholders’ equity | US$ in thousands | 185,444 | 271,343 | 398,520 | 408,822 | 461,779 |
| Debt-to-equity ratio | 2.12 | 0.00 | 0.00 | 0.00 | 0.00 |
September 30, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $393,183K ÷ $185,444K
= 2.12
The debt-to-equity ratio of Arrowhead Pharmaceuticals Inc has shown a significant increase from 0.00 in 2020 to 2.12 in 2024. This indicates that the company has increased its reliance on debt financing relative to equity over the past five years. A debt-to-equity ratio of 2.12 suggests that for every dollar of equity, the company has $2.12 of debt. This could indicate a higher financial risk for the company as it has taken on more debt to fund its operations or growth initiatives. It is important for investors and stakeholders to monitor this trend closely to ensure that the company is managing its debt levels effectively to avoid potential financial challenges in the future.
Peer comparison
Sep 30, 2024