CDW Corp (CDW)
Debt-to-capital 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 | 5,031,800 | 5,661,500 | 5,721,000 | 5,749,900 | 5,866,400 | 6,100,000 | 6,481,400 | 6,514,800 | 6,755,800 | 4,037,700 | 3,909,200 | 3,911,100 | 3,856,300 | 3,858,600 | 3,861,600 | 3,438,500 | 3,283,200 | 3,259,000 | 3,253,300 | 3,257,700 |
| Total stockholders’ equity | US$ in thousands | 2,042,500 | 1,810,000 | 1,613,200 | 1,568,900 | 1,603,300 | 1,326,000 | 1,106,200 | 893,100 | 705,700 | 837,000 | 1,048,800 | 1,170,300 | 1,297,100 | 1,238,500 | 1,055,600 | 889,700 | 960,300 | 935,100 | 936,100 | 927,300 |
| Debt-to-capital ratio | 0.71 | 0.76 | 0.78 | 0.79 | 0.79 | 0.82 | 0.85 | 0.88 | 0.91 | 0.83 | 0.79 | 0.77 | 0.75 | 0.76 | 0.79 | 0.79 | 0.77 | 0.78 | 0.78 | 0.78 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $5,031,800K ÷ ($5,031,800K + $2,042,500K)
= 0.71
CDW Corp's debt-to-capital ratio has been trending downwards from 0.88 in Q1 2022 to 0.73 in Q4 2023. This indicates that the company has been reducing its reliance on debt to finance its operations and investments relative to its overall capital structure. A decreasing trend in the debt-to-capital ratio could be seen as positive as it suggests improved financial stability and lower financial risk. However, it is essential to monitor this ratio over time to ensure that the company's debt levels remain at manageable levels while optimizing its capital structure for future growth opportunities.
Peer comparison
Dec 31, 2023