DexCom Inc (DXCM)

Financial leverage ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total assets	US$ in thousands	6,264,500	5,391,700	4,933,300	4,290,500	2,395,000
Total stockholders’ equity	US$ in thousands	2,068,600	2,131,800	2,042,100	1,551,900	882,600
Financial leverage ratio		3.03	2.53	2.42	2.76	2.71

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $6,264,500K ÷ $2,068,600K
= 3.03

The financial leverage ratio of Dexcom Inc has been trending upwards over the last five years, indicating an increase in the company's reliance on debt to finance its operations. In 2023, the financial leverage ratio reached 3.03, which suggests that Dexcom's level of debt relative to its equity has significantly increased compared to the previous years. This higher ratio may signal higher financial risk for the company as it indicates a greater proportion of debt in its capital structure. Dexcom should carefully manage its debt levels to ensure it remains sustainable and does not negatively impact its financial health and stability.