American Axle & Manufacturing (AXL)

Debt-to-equity 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
Long-term debt	US$ in thousands	2,794,700	2,879,800	2,902,400	2,897,300	2,896,800	3,001,000	3,063,700	3,092,900	3,119,100	—	—	—	3,486,900	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	604,900	613,700	644,800	621,700	627,300	486,500	469,200	484,500	457,800	432,800	441,300	401,300	370,500	340,900	196,200	389,800	977,600	1,406,800	1,569,500	1,521,300
Debt-to-equity ratio		4.62	4.69	4.50	4.66	4.62	6.17	6.53	6.38	6.81	0.00	0.00	0.00	9.41	0.00	0.00	0.00	0.00	0.00	0.00	0.00

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $2,794,700K ÷ $604,900K
= 4.62

The debt-to-equity ratio of American Axle & Manufacturing Holdings Inc has been relatively high and consistent in the past quarters, ranging from 4.45 to 6.50. This indicates that the company relies significantly on debt to finance its operations compared to equity. A higher debt-to-equity ratio may signal higher financial risk and potential challenges in meeting debt obligations.

It is noteworthy that the ratio has shown some stability in recent quarters, staying within a relatively narrow range. However, the consistency at a high level may raise concerns about the company's financial leverage and ability to weather economic downturns or unexpected disruptions. Investors and stakeholders should closely monitor the company's debt management strategies and overall financial health, considering the persistent high debt levels reflected in the ratio.