Centene Corp (CNC)

Debt-to-capital ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Long-term debt	US$ in thousands	17,710,000	17,938,000	18,571,000	16,682,000	13,638,000
Total stockholders’ equity	US$ in thousands	25,840,000	24,057,000	26,795,000	25,773,000	12,551,000
Debt-to-capital ratio		0.41	0.43	0.41	0.39	0.52

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $17,710,000K ÷ ($17,710,000K + $25,840,000K)
= 0.41

The debt-to-capital ratio of Centene Corp. has exhibited fluctuations over the past five years. The ratio decreased from 0.52 in 2019 to 0.39 in 2020, indicating a reduction in debt relative to total capital. Subsequently, there was a slight increase to 0.41 in 2021, followed by a rise to 0.43 in 2022. The most recent data for Dec 31, 2023, shows a decrease in the ratio to 0.41.

Overall, the trend suggests that Centene Corp. has been actively managing its debt levels relative to its capital base. A lower debt-to-capital ratio indicates that the company is relying less on debt financing and may have improved financial stability. However, it is essential to consider other financial metrics and industry benchmarks to gain a more comprehensive understanding of the company's financial health and leverage position.