Deere & Company (DE)
Debt-to-capital ratio
| Oct 27, 2024 | Jul 28, 2024 | Apr 28, 2024 | Jan 28, 2024 | Oct 29, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 29, 2023 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Jan 30, 2022 | Oct 31, 2021 | Aug 1, 2021 | May 2, 2021 | Jan 31, 2021 | Nov 1, 2020 | Aug 2, 2020 | May 3, 2020 | Feb 2, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | 32,447,000 | 32,838,000 | 32,888,000 | 32,280,000 | 33,346,000 | 32,772,000 | 32,734,000 | 34,037,000 | 34,324,000 | 30,475,000 |
| Total stockholders’ equity | US$ in thousands | 22,836,000 | 23,062,000 | 22,684,000 | 22,075,000 | 21,785,000 | 23,048,000 | 22,395,000 | 21,332,000 | 20,262,000 | 19,033,000 | 18,904,000 | 17,804,000 | 18,431,000 | 15,731,000 | 15,092,000 | 14,083,000 | 12,937,000 | 12,888,000 | 11,864,000 | 11,926,000 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.63 | 0.65 | 0.64 | 0.67 | 0.69 | 0.70 | 0.72 | 0.73 | 0.74 | 0.72 |
October 27, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $22,836,000K)
= 0.00
The debt-to-capital ratio of Deere & Company has been relatively stable over the past couple of years, with fluctuations within a narrow range. The ratio has consistently stayed close to 0.70, indicating that the company finances a significant portion of its operations through debt capital. However, it is worth noting that there was a noticeable spike in the ratio in the middle of 2022, reaching a peak of 0.74, before trending slightly lower in subsequent periods.
Overall, the consistent level of the debt-to-capital ratio suggests that Deere & Company has maintained a balanced capital structure, utilizing both debt and equity financing efficiently. This ratio is important for investors and creditors to assess the company's financial leverage and risk profile. A stable or decreasing trend in the ratio can indicate improved financial health and reduced risk, whereas significant increases may raise concerns about the company's ability to service its debt obligations.
Peer comparison
Oct 27, 2024