CEVA Inc (CEVA)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 304,085 | 308,442 | 328,659 | 306,952 | 297,021 |
| Total stockholders’ equity | US$ in thousands | 264,341 | 258,871 | 276,732 | 260,889 | 251,157 |
| Financial leverage ratio | 1.15 | 1.19 | 1.19 | 1.18 | 1.18 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $304,085K ÷ $264,341K
= 1.15
The financial leverage ratio of CEVA Inc has ranged between 1.15 and 1.19 over the past five years. This ratio indicates the extent to which the company relies on debt financing to support its operations and growth. A higher financial leverage ratio suggests a higher level of debt relative to equity in the company's capital structure.
The slight fluctuations in CEVA Inc's financial leverage ratio from 1.15 to 1.19 indicate that the company has maintained a relatively stable level of leverage over the years. A ratio around 1.15 to 1.19 suggests that the company has been utilizing a moderate amount of debt to finance its operations, while still maintaining a reasonable level of equity in its capital structure.
Overall, the financial leverage ratio of CEVA Inc demonstrates a consistent approach to balancing debt and equity in its capital structure over the past five years, indicating a cautious approach to leveraging and financial risk management.
Peer comparison
Dec 31, 2023