Cable One Inc (CABO)
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 | 6,846,930 | 6,911,780 | 6,882,740 | 6,879,350 | 6,913,890 | 6,932,250 | 6,895,080 | 6,959,420 | 6,953,990 | 6,900,600 | 6,830,000 | 5,432,260 | 4,488,340 | 3,826,810 | 3,743,450 | 3,298,360 | 3,151,830 | 2,608,330 | 2,549,450 | 2,624,240 |
| Total stockholders’ equity | US$ in thousands | 1,873,140 | 1,802,730 | 1,767,740 | 1,742,610 | 1,757,970 | 1,897,130 | 1,905,500 | 1,936,150 | 1,793,100 | 1,731,220 | 1,680,840 | 1,600,650 | 1,495,300 | 1,384,400 | 1,323,550 | 810,891 | 841,569 | 774,759 | 762,908 | 769,035 |
| Financial leverage ratio | 3.66 | 3.83 | 3.89 | 3.95 | 3.93 | 3.65 | 3.62 | 3.59 | 3.88 | 3.99 | 4.06 | 3.39 | 3.00 | 2.76 | 2.83 | 4.07 | 3.75 | 3.37 | 3.34 | 3.41 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $6,846,930K ÷ $1,873,140K
= 3.66
The financial leverage ratio of Cable One Inc has shown some fluctuation over the past eight quarters. The ratio has ranged from 3.59 to 3.95 during this period, indicating varying levels of leverage in the company's capital structure.
In general, a higher financial leverage ratio suggests that the company relies more on debt financing to fund its operations and investments, which can magnify returns but also increase financial risk. On the other hand, a lower financial leverage ratio indicates a more conservative financing approach with a higher proportion of equity in the capital structure.
Based on the trend observed, Cable One Inc's financial leverage ratio has been relatively stable around the 3.6 to 3.9 range, with some minor fluctuations. This suggests that the company has maintained a moderate level of leverage, balancing the benefits and risks associated with debt financing.
It would be important to analyze the company's overall financial health, profitability, cash flow generation, and debt repayment capabilities in conjunction with the financial leverage ratio to get a more comprehensive understanding of its financial position and risk profile.
Peer comparison
Dec 31, 2023