Coterra Energy Inc (CTRA)

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	3,535,000	2,066,000	2,071,000	2,076,000	1,586,000	1,592,000	2,171,000	2,176,000	2,181,000	2,188,000	2,981,000	3,090,000	3,125,000	946,509	946,316	946,123	946,000	973,712	1,045,500	1,045,260
Total stockholders’ equity	US$ in thousands	13,122,000	13,034,000	13,029,000	13,089,000	13,039,000	12,789,000	12,659,000	12,643,000	12,659,000	12,659,000	12,191,000	11,718,000	11,738,000	2,327,000	2,300,000	2,306,000	2,216,000	2,118,490	2,165,980	2,168,400
Debt-to-equity ratio		0.27	0.16	0.16	0.16	0.12	0.12	0.17	0.17	0.17	0.17	0.24	0.26	0.27	0.41	0.41	0.41	0.43	0.46	0.48	0.48

December 31, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $3,535,000K ÷ $13,122,000K
= 0.27

Coterra Energy Inc's debt-to-equity ratio has experienced a declining trend over the past few years, indicating a decreasing reliance on debt financing compared to equity. The ratio decreased from 0.48 as of March 31, 2020, to 0.12 as of December 31, 2023. However, there was a slight increase to 0.27 by December 31, 2024.

This decreasing trend suggests that Coterra Energy Inc has been managing its debt levels effectively relative to its equity, which can be viewed positively as lower debt levels generally indicate lower financial risk. It is important to note, though, the slight increase in the ratio by the end of 2024, which could indicate a shift in the company's financing strategy or potential changes in its capital structure.

Overall, a debt-to-equity ratio of 0.27 as of December 31, 2024, suggests that Coterra Energy Inc has a moderate level of debt in relation to its equity, which may indicate a balanced approach to funding its operations and growth.