CVR Energy Inc (CVI)
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 | 2,100,000 | 1,400,000 | — | — | — |
| Total stockholders’ equity | US$ in thousands | 847,000 | 531,000 | 553,000 | 1,019,000 | 1,393,000 |
| Debt-to-equity ratio | 2.48 | 2.64 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $2,100,000K ÷ $847,000K
= 2.48
The debt-to-equity ratio of CVR Energy Inc has shown fluctuations over the past five years. In 2023, the ratio stood at 2.58, representing a decrease from 3.00 in 2022. This implies that the company's reliance on debt to fund its operations has reduced in 2023 compared to the prior year. However, when compared to 2021, where the ratio was also at 3.00, there has been no significant change in the debt structure.
Looking back further, in 2020, the debt-to-equity ratio was at 1.66, indicating an increase in leverage compared to 2019 when the ratio was at 0.86. This suggests that there was a significant increase in the utilization of debt to finance the company's operations in 2020.
Overall, the trend in the debt-to-equity ratio for CVR Energy Inc indicates variability in the capital structure over the years, with fluctuations in the level of debt relative to equity. Investors and stakeholders may want to monitor this ratio closely to assess the company's risk and financial health.
Peer comparison
Dec 31, 2023