Civitas Resources Inc (CIVI)
Debt-to-equity 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 | 4,785,730 | 3,699,890 | 3,048,510 | 393,693 | 393,293 | 392,897 | 392,508 | 492,123 | 491,710 | 160,000 | 199,000 | 0 | 0 | 20,000 | 58,000 | 59,000 | 80,000 | — | — | 65,000 |
| Total stockholders’ equity | US$ in thousands | 6,181,320 | 6,020,630 | 5,046,690 | 5,101,750 | 5,373,920 | 5,253,520 | 4,992,550 | 4,637,530 | 4,655,000 | 1,417,250 | 1,385,110 | 1,046,760 | 1,045,250 | 982,952 | 978,038 | 1,016,420 | 936,690 | 937,924 | 900,006 | 858,147 |
| Debt-to-equity ratio | 0.77 | 0.61 | 0.60 | 0.08 | 0.07 | 0.07 | 0.08 | 0.11 | 0.11 | 0.11 | 0.14 | 0.00 | 0.00 | 0.02 | 0.06 | 0.06 | 0.09 | 0.00 | 0.00 | 0.08 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $4,785,730K ÷ $6,181,320K
= 0.77
The debt-to-equity ratio of Civitas Resources Inc has varied over the periods presented. In Q4 2023, the ratio stood at 0.77, indicating that the company had more debt relative to equity. This was higher compared to the previous quarter where the ratio was 0.61. The trend over the past few quarters has shown an increasing reliance on debt as a source of financing.
In comparison to Q1-Q3 2023, the debt-to-equity ratio in Q4 2023 showed a significant increase, signaling a potential increase in financial leverage and higher risk for the company. However, it is noteworthy that the ratio had been relatively low in the earlier quarters of 2022, ranging between 0.07 and 0.11, which may indicate a more conservative financial structure during that period.
Overall, the recent uptrend in the debt-to-equity ratio of Civitas Resources Inc suggests a shift towards a more leveraged position, which could lead to increased financial risk and interest payment obligations. It would be essential for stakeholders to monitor this trend closely to assess the company's ability to manage its debt levels effectively.
Peer comparison
Dec 31, 2023