Quest Diagnostics Incorporated (DGX)

Debt-to-capital 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 4,410,000 3,978,000 4,010,000 4,013,000 4,018,000 4,020,000 4,033,000 3,966,000 3,188,000 3,169,000 3,131,000
Total stockholders’ equity US$ in thousands 6,307,000 6,425,000 6,249,000 6,050,000 5,893,000 6,235,000 6,411,000 6,377,000 6,444,000 6,392,000 5,899,000 6,745,000 6,759,000 6,400,000 5,831,000 5,657,000 5,641,000 5,605,000 5,459,000 5,290,000
Debt-to-capital ratio 0.41 0.00 0.00 0.00 0.40 0.00 0.00 0.00 0.38 0.00 0.00 0.00 0.37 0.39 0.41 0.42 0.41 0.36 0.37 0.37

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $4,410,000K ÷ ($4,410,000K + $6,307,000K)
= 0.41

The debt-to-capital ratio of Quest Diagnostics, Inc. has been relatively stable over the past eight quarters, ranging from 0.38 to 0.43. This ratio indicates that approximately 38% to 43% of the company's capital structure is financed by debt, while the remaining portion is covered by equity.

Generally, a higher debt-to-capital ratio suggests higher financial risk, as the company relies more on debt financing. On the other hand, a lower ratio indicates a stronger equity position and lower financial risk.

Quest Diagnostics' debt-to-capital ratio hovering around 0.40 indicates a balanced capital structure with a moderate level of debt. However, it is important to consider other factors such as the company's ability to service its debt, its cash flow generation, and overall financial health when evaluating its debt levels.


Peer comparison

Dec 31, 2023