DXP Enterprises Inc (DXPE)
Financial leverage ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 1,349,490 | 1,231,440 | 1,189,150 | 1,184,160 | 1,177,440 | 1,045,100 | 1,034,430 | 1,053,160 | 1,037,280 | 996,075 | 984,890 | 902,315 | 906,192 | 912,957 | 902,397 | 869,482 | 851,861 | 736,718 | 783,130 | 791,691 |
| Total stockholders’ equity | US$ in thousands | 422,788 | 402,368 | 384,681 | 375,464 | 380,879 | 363,576 | 369,465 | 374,284 | 365,392 | 386,497 | 375,586 | 360,187 | 358,639 | 361,132 | 344,861 | 352,354 | 347,068 | 322,641 | 356,823 | 351,136 |
| Financial leverage ratio | 3.19 | 3.06 | 3.09 | 3.15 | 3.09 | 2.87 | 2.80 | 2.81 | 2.84 | 2.58 | 2.62 | 2.51 | 2.53 | 2.53 | 2.62 | 2.47 | 2.45 | 2.28 | 2.19 | 2.25 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,349,490K ÷ $422,788K
= 3.19
The financial leverage ratio of DXP Enterprises Inc has been showing a fluctuating trend over the past few years. The ratio ranged from 2.19 to 3.19 during the period from June 30, 2020, to December 31, 2024. The ratio indicates that the company relies on debt to finance its assets and operations. An increasing trend in the financial leverage ratio suggests that the company is taking on more debt relative to its equity, which could increase financial risk. On the other hand, a decreasing trend could indicate improved financial stability but may also limit the company's growth opportunities. The company should carefully monitor its financial leverage ratio to ensure it remains at a sustainable level and supports its overall financial health and growth objectives.
Peer comparison
Dec 31, 2024