Cohu Inc (COHU)
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 | 34,303 | 72,664 | 103,393 | 311,551 | 346,518 |
| Total stockholders’ equity | US$ in thousands | 950,170 | 928,841 | 882,502 | 512,288 | 483,072 |
| Debt-to-equity ratio | 0.04 | 0.08 | 0.12 | 0.61 | 0.72 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $34,303K ÷ $950,170K
= 0.04
The debt-to-equity ratio for Cohu Inc has exhibited a declining trend over the past five years, indicating a decreasing reliance on debt financing relative to equity. In 2023, the ratio stands at 0.04, signaling a very low level of debt in comparison to equity, which may suggest a conservative financial structure. This significant decrease from 0.72 in 2019 to 0.04 in 2023 reflects a substantial reduction in the company's debt burden and a strengthened equity position. The decreasing trend in the debt-to-equity ratio could indicate that Cohu Inc has been actively paying down its debt, which might improve its financial stability and reduce financial risk. Overall, the declining debt-to-equity ratio suggests a positive financial trajectory for Cohu Inc in terms of its capital structure and financial health.
Peer comparison
Dec 31, 2023