Cars.com Inc (CARS)
Financial leverage ratio
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Total assets | US$ in thousands | 1,111,860 | 1,172,450 | 1,024,870 | 1,007,200 | 1,075,710 |
Total stockholders’ equity | US$ in thousands | 511,485 | 492,108 | 384,430 | 366,934 | 340,176 |
Financial leverage ratio | 2.17 | 2.38 | 2.67 | 2.74 | 3.16 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,111,860K ÷ $511,485K
= 2.17
The financial leverage ratio of Cars.com Inc has shown a declining trend over the years, indicating a decreasing reliance on debt to finance its operations. From 3.16 in December 31, 2020 to 2.17 in December 31, 2024, the company has gradually reduced its debt levels relative to its equity. This decreasing trend may suggest a stronger financial position and potentially lower financial risk for the company. However, it is important to consider the reasons behind this trend and evaluate the overall financial health and strategy of Cars.com Inc.
Peer comparison
Dec 31, 2024
Company name
Symbol
Financial leverage ratio
Cars.com Inc
CARS
2.17
Automatic Data Processing Inc
ADP
11.95
CarGurus
CARG
1.52
CSG Systems International Inc
CSGS
5.31
DXC Technology Co
DXC
4.93
Kyndryl Holdings Inc
KD
10.43
Liveramp Holdings Inc
RAMP
1.30
Shutterstock
SSTK
2.53
Verisk Analytics Inc
VRSK
42.60
Workday Inc
WDAY
1.99