Quest Diagnostics Incorporated (DGX)
Debt-to-equity 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-equity ratio | 0.70 | 0.00 | 0.00 | 0.00 | 0.68 | 0.00 | 0.00 | 0.00 | 0.62 | 0.00 | 0.00 | 0.00 | 0.59 | 0.63 | 0.69 | 0.71 | 0.70 | 0.57 | 0.58 | 0.59 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $4,410,000K ÷ $6,307,000K
= 0.70
Quest Diagnostics, Inc.'s debt-to-equity ratio has shown a fluctuating trend over the past eight quarters. In Q4 2023, the ratio stood at 0.77, indicating that the company had $0.77 in debt for every $1 of equity. This was an increase from the previous quarter's ratio of 0.66. The ratio had previously peaked at 0.69 in both Q2 and Q4 of 2023.
Compared to the same quarter in the previous year, the debt-to-equity ratio has generally been higher in 2023. However, it remains relatively stable within the range of 0.62 to 0.77 over the past eight quarters. This indicates that Quest Diagnostics, Inc. relies more on debt financing compared to shareholder equity, with varying degrees of leverage in its capital structure throughout the periods examined.
Overall, ongoing monitoring of the debt-to-equity ratio is essential to assess the company's financial risk, capital structure stability, and ability to meet its debt obligations while maximizing shareholder value.
Peer comparison
Dec 31, 2023