Booking Holdings Inc (BKNG)
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 | 12,223,000 | 11,856,000 | 13,198,000 | 11,272,000 | 11,985,000 | 7,950,000 | 8,190,000 | 8,435,000 | 8,937,000 | 9,876,000 | 9,986,000 | 9,930,000 | 11,029,000 | 10,829,000 | 10,633,000 | 7,553,000 | 7,640,000 | 7,512,000 | 7,686,000 | 7,619,000 |
| Total stockholders’ equity | US$ in thousands | -2,744,000 | -625,000 | -665,000 | 1,074,000 | 2,782,000 | 3,670,000 | 4,002,000 | 4,373,000 | 6,178,000 | 5,545,000 | 4,799,000 | 4,764,000 | 4,893,000 | 4,913,000 | 3,999,000 | 3,831,000 | 5,933,000 | 5,951,000 | 5,307,000 | 6,915,000 |
| Debt-to-equity ratio | — | — | — | 10.50 | 4.31 | 2.17 | 2.05 | 1.93 | 1.45 | 1.78 | 2.08 | 2.08 | 2.25 | 2.20 | 2.66 | 1.97 | 1.29 | 1.26 | 1.45 | 1.10 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $12,223,000K ÷ $-2,744,000K
= —
The debt-to-equity ratio for Booking Holdings Inc has been on an increasing trend over the past eight quarters, suggesting a growing reliance on debt financing relative to equity. In Q1 2023, the ratio stood at 11.29, a significant surge from the previous quarter's figure of 4.49. This sharp increase indicates a substantial rise in the company's debt levels compared to its equity position.
Furthermore, when compared to the ratios from Q4 2022 to Q2 2022, the upward trajectory is evident, signifying a pattern of heightened leverage within the company's capital structure. The gradual increase in the debt-to-equity ratio may indicate potential concerns regarding the firm's financial risk and solvency, as higher levels of debt relative to equity could magnify financial pressures and impact the company's ability to service its debt obligations.
It would be advisable for stakeholders and investors to monitor this trend closely and assess the company's ability to manage its debt levels effectively to ensure long-term financial stability and sustainability.
Peer comparison
Dec 31, 2023