Encompass Health Corp (EHC)
Debt-to-capital ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 2,067,000 | 1,647,500 | 1,310,300 | 1,911,300 | 1,588,000 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $2,067,000K)
= 0.00
The debt-to-capital ratio for Encompass Health Corp for the years ending December 31, 2020, 2021, 2022, 2023, and 2024 is notably consistent at 0.00. This suggests that the company has not utilized debt as a significant portion of its capital structure during these periods. A debt-to-capital ratio of 0.00 indicates that the company's capital is primarily sourced from equity rather than debt financing, which may signify a lower financial risk profile. However, it is important to note that a very low or zero debt-to-capital ratio can also imply missed opportunities for leveraging debt for potential growth or tax advantages. Overall, Encompass Health Corp's consistent 0.00 debt-to-capital ratio reflects a relatively conservative approach to financial leverage over the analyzed years.
Peer comparison
Dec 31, 2024