Boston Scientific Corp (BSX)
Debt-to-equity ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 19,282,000 | 17,573,000 | 16,623,000 | 15,327,000 | 13,877,000 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $19,282,000K
= 0.00
The debt-to-equity ratio of Boston Scientific Corp. has exhibited a declining trend over the five-year period from 2019 to 2023. The ratio decreased from 0.72 in 2019 to 0.47 in 2023, indicating that the company has become less reliant on debt financing relative to equity financing over this period.
A decreasing trend in the debt-to-equity ratio is generally seen as positive as it suggests that the company is using less debt to fund its operations and growth, which can reduce financial risk and improve financial stability.
The gradual decline in the debt-to-equity ratio may indicate that Boston Scientific Corp. has been successful in managing its debt levels and enhancing its financial position. Lower debt levels relative to equity can provide the company with more flexibility and resilience, especially during economic downturns or periods of financial instability.
Overall, the decreasing trend in Boston Scientific Corp.'s debt-to-equity ratio implies a positive shift towards a more balanced and sustainable capital structure, which may enhance the company's long-term financial health and stability.
Peer comparison
Dec 31, 2023