Avient Corp (AVNT)

Financial leverage ratio

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Total assets	US$ in thousands	5,968,500	5,789,700	6,051,800	6,111,200	6,085,000	6,307,100	5,043,600	5,047,000	4,997,200	5,011,000	5,047,400	4,909,400	4,870,500	4,709,900	4,337,000	3,742,700	3,273,300	2,946,200	2,930,600	2,961,800
Total stockholders’ equity	US$ in thousands	2,319,200	2,276,900	2,334,700	2,349,800	2,334,500	1,720,400	1,809,700	1,813,200	1,774,700	1,768,800	1,768,200	1,707,000	1,697,100	1,597,000	1,551,300	1,538,600	1,051,900	591,400	570,400	568,200
Financial leverage ratio		2.57	2.54	2.59	2.60	2.61	3.67	2.79	2.78	2.82	2.83	2.85	2.88	2.87	2.95	2.80	2.43	3.11	4.98	5.14	5.21

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $5,968,500K ÷ $2,319,200K
= 2.57

The financial leverage ratio of Avient Corp has shown fluctuations over the past eight quarters. The ratio decreased from 3.67 in Q3 2022 to 2.79 in Q2 2022, indicating a significant reduction in leverage during that period. Subsequently, the ratio remained relatively stable around the 2.5 level until Q4 2022. However, there was a slight increase in leverage in Q4 2022 and Q1 2023, reaching 2.61 and 2.60, respectively.

In the most recent quarters, Q2 and Q3 2023, the financial leverage ratio increased to 2.59 and 2.54, signaling a potential increase in leverage compared to the previous quarters. This upward trend in leverage could be a cause for concern, as it may indicate that the company is relying more on debt to finance its operations and investments.

Overall, Avient Corp's financial leverage ratio has exhibited some volatility over the quarters reviewed, with a general downward trend followed by a recent uptick. Further analysis and monitoring of the company's leverage position may be necessary to assess its financial health and risk exposure.