Cohu Inc (COHU)
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 | 34,303 | 35,189 | 36,457 | 37,719 | 72,664 | 72,977 | 75,378 | 101,959 | 103,393 | 110,887 | 111,744 | 211,182 | 311,551 | 331,469 | 348,036 | 346,877 | 346,518 | 344,920 | 341,978 | 342,632 |
| Total stockholders’ equity | US$ in thousands | 950,170 | 946,236 | 953,393 | 938,779 | 928,841 | 881,811 | 894,452 | 886,897 | 882,502 | 871,979 | 850,231 | 749,474 | 512,288 | 474,609 | 466,758 | 464,884 | 483,072 | 491,753 | 514,805 | 528,670 |
| Debt-to-equity ratio | 0.04 | 0.04 | 0.04 | 0.04 | 0.08 | 0.08 | 0.08 | 0.11 | 0.12 | 0.13 | 0.13 | 0.28 | 0.61 | 0.70 | 0.75 | 0.75 | 0.72 | 0.70 | 0.66 | 0.65 |
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 of Cohu Inc has shown a decreasing trend over the past few quarters, indicating a strengthening financial position in terms of leverage. The ratio was relatively low at 0.04 in the most recent quarter of Dec 31, 2023, and has remained stable at this level throughout the year 2023. This suggests that the company has a low level of debt relative to its equity, which can be viewed positively by investors and creditors.
Looking back over the previous quarters, there was a notable increase in the debt-to-equity ratio in the first quarter of 2021, reaching a high of 0.61, and peaking at 0.75 in the first quarter of 2020. However, since then, there has been a consistent downward trend in the ratio, indicating that Cohu Inc has been effectively managing its debt levels and improving its capital structure.
Overall, the decreasing trend in the debt-to-equity ratio reflects the company's efforts to reduce debt and strengthen its financial position by increasing equity relative to debt. This trend is generally viewed positively as it suggests lower financial risk and potentially lower interest costs.
Peer comparison
Dec 31, 2023