CarGurus (CARG)
Solvency ratios
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 1.49 | 1.26 | 1.80 | 1.34 | 1.53 |
CarGurus Inc has maintained a consistently low level of leverage over the past five years, as indicated by the debt-to-assets ratio, debt-to-capital ratio, and debt-to-equity ratio all being consistently at 0.00. This suggests that the company has not been heavily reliant on debt to finance its operations or growth.
However, looking at the financial leverage ratio, we observe some fluctuations over the years. The financial leverage ratio increased from 1.26 in 2022 to 1.49 in 2023, indicating an increase in the company's reliance on debt to fund its operations and investments. This could potentially signal a shift in the company's financing strategy or an increase in financial risk.
Overall, CarGurus Inc's solvency ratios reflect a strong financial position with minimal debt compared to its assets, capital, and equity. However, the increasing trend in the financial leverage ratio warrants further monitoring to ensure that the company's leverage levels remain sustainable and do not pose undue financial risks in the future.
Coverage ratios
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Interest coverage | 63.35 | 797.63 | 4,007.24 | 72.20 | 7.83 |
The provided table lacks information necessary to calculate CarGurus Inc's interest coverage ratio for the years 2020 to 2023. Interest coverage ratio is typically calculated by dividing earnings before interest and taxes (EBIT) by the interest expense. Without data on EBIT and interest expense for these years, it is not possible to analyze the company's ability to cover its interest payments from its operating earnings. To perform a comprehensive analysis of CarGurus Inc's interest coverage, additional financial information for the mentioned years is required.