CEVA Inc (CEVA)
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 | 264,341 | 258,871 | 276,732 | 260,889 | 251,157 |
| 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 ÷ $264,341K
= 0.00
The debt-to-equity ratio for CEVA Inc has consistently been 0.00 for the past five years, from 2019 to 2023. This indicates that the company has not utilized any debt to finance its operations and investments during this period. A debt-to-equity ratio of 0.00 means that the company's total liabilities are equal to zero or negligible compared to its equity, suggesting that the company relies primarily on equity financing and has minimal financial leverage.
CEVA Inc's consistent debt-to-equity ratio of 0.00 demonstrates a conservative financial strategy, where the company has not taken on any debt obligations to fund its activities. This approach can be advantageous as it reduces the financial risk associated with debt and provides greater stability in times of economic uncertainty. However, it may also indicate missed opportunities for strategic leveraging of debt to potentially enhance returns for shareholders.
Overall, the stable and low debt-to-equity ratio for CEVA Inc reflects a strong financial position with minimal debt exposure and a healthy balance between debt and equity financing.
Peer comparison
Dec 31, 2023