Cleveland-Cliffs Inc (CLF)
Debt-to-equity ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 7,065,000 | 3,774,000 | 3,507,000 | 3,664,000 | 3,137,000 | 3,458,000 | 3,963,000 | 4,559,000 | 4,249,000 | 4,475,000 | 4,668,000 | 5,028,000 | 5,238,000 | 5,350,000 | 5,368,000 | 5,734,000 | 5,390,000 | 4,309,800 | 4,451,600 | 4,357,100 |
| Total stockholders’ equity | US$ in thousands | 6,664,000 | 6,854,000 | 7,110,000 | 7,201,000 | 7,887,000 | 8,020,000 | 7,802,000 | 7,546,000 | 7,791,000 | 7,008,000 | 6,729,000 | 6,339,000 | 5,490,000 | 3,996,000 | 3,233,000 | 2,389,000 | 2,018,000 | 810,600 | 792,900 | 903,200 |
| Debt-to-equity ratio | 1.06 | 0.55 | 0.49 | 0.51 | 0.40 | 0.43 | 0.51 | 0.60 | 0.55 | 0.64 | 0.69 | 0.79 | 0.95 | 1.34 | 1.66 | 2.40 | 2.67 | 5.32 | 5.61 | 4.82 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $7,065,000K ÷ $6,664,000K
= 1.06
The debt-to-equity ratio of Cleveland-Cliffs Inc has shown a declining trend from 4.82 as of March 31, 2020, to 0.55 as of September 30, 2024. This indicates that the company's reliance on debt financing compared to equity has decreased significantly over the period under review. A decreasing debt-to-equity ratio signifies that the company is using less debt to finance its operations and growth, which may reduce its financial risk. It suggests that the company has been able to strengthen its financial position by either paying down debt, increasing equity, or a combination of both. Additionally, a lower debt-to-equity ratio is generally viewed positively by investors and lenders as it indicates a healthier balance sheet structure.
Peer comparison
Dec 31, 2024