Dropbox Inc (DBX)
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 | 1,377,800 | 1,374,000 | 1,370,300 | 0 | — |
| Total stockholders’ equity | US$ in thousands | -165,800 | -309,400 | -293,900 | 333,800 | 808,400 |
| Debt-to-equity ratio | — | — | — | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,377,800K ÷ $-165,800K
= —
The debt-to-equity ratio measures the proportion of a company's debt to its equity, indicating its reliance on borrowed funds for operations and growth. Dropbox Inc's debt-to-equity ratio has shown a significant increase over the years, from 0.27 in 2019 to 0.81 in 2020. However, the data for 2021, 2022, and 2023 is not available, so it's difficult to assess the trend beyond 2020.
A debt-to-equity ratio of 0.27 in 2019 suggests that Dropbox had a lower level of debt relative to equity, indicating a conservative financial structure. The increase to 0.81 in 2020 implies a higher level of debt in relation to equity, which could indicate increased borrowing for investment or operating needs.
It's important to note that without the data for 2021, 2022, and 2023, a comprehensive analysis of Dropbox Inc's current leverage position and trend in debt management cannot be fully evaluated. It would be advisable to monitor future financial reports to assess the company's debt-to-equity ratio and understand its implications on the overall financial health and risk profile of Dropbox Inc.
Peer comparison
Dec 31, 2023