Dover Corporation (DOV)
Financial leverage 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 11,348,500 | 10,772,100 | 10,901,600 | 10,804,600 | 10,896,500 | 10,652,300 | 10,807,400 | 10,501,000 | 10,403,600 | 9,902,980 | 9,630,000 | 9,270,890 | 9,152,070 | 8,985,970 | 9,114,130 | 8,944,250 | 8,669,480 | 8,669,300 | 8,776,050 | 8,657,910 |
| Total stockholders’ equity | US$ in thousands | 5,106,600 | 4,832,500 | 4,662,100 | 4,460,560 | 4,286,370 | 3,991,430 | 4,388,520 | 4,329,780 | 4,189,530 | 3,891,820 | 3,719,300 | 3,499,140 | 3,385,770 | 2,697,630 | 2,575,170 | 2,509,100 | 3,032,660 | 2,555,670 | 2,501,210 | 2,357,130 |
| Financial leverage ratio | 2.22 | 2.23 | 2.34 | 2.42 | 2.54 | 2.67 | 2.46 | 2.43 | 2.48 | 2.54 | 2.59 | 2.65 | 2.70 | 3.33 | 3.54 | 3.56 | 2.86 | 3.39 | 3.51 | 3.67 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $11,348,500K ÷ $5,106,600K
= 2.22
The financial leverage ratio of Dover Corp. has been fluctuating over the past eight quarters, ranging from a low of 2.22 in Q4 2023 to a high of 2.67 in Q3 2022. This ratio indicates the proportion of a company's total assets that are financed by its debt compared to its equity.
A decreasing trend in the financial leverage ratio could suggest that the company is relying less on debt to fund its operations and investments, which may reduce the overall financial risk. Conversely, an increasing trend in the ratio may signal that the company is taking on more debt relative to its equity, potentially increasing its financial risk.
In the case of Dover Corp., the ratio has shown some volatility, with fluctuations both up and down. Further analysis would be required to understand the specific reasons behind these changes and to assess the impact on the company's overall financial health and stability. It is essential to consider the company's industry, business strategy, and market conditions when interpreting the financial leverage ratio in isolation.
Peer comparison
Dec 31, 2023