The Ensign Group Inc (ENSG)

Financial leverage ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Total assets US$ in thousands 4,669,360 4,177,540 3,452,020 2,850,620 2,545,580
Total stockholders’ equity US$ in thousands 1,837,110 1,491,860 1,247,330 1,020,770 818,077
Financial leverage ratio 2.54 2.80 2.77 2.79 3.11

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $4,669,360K ÷ $1,837,110K
= 2.54

The financial leverage ratio of The Ensign Group Inc has exhibited a decreasing trend over the years, declining from 3.11 as of December 31, 2020, to 2.54 as of December 31, 2024. This indicates that the company has been reducing its reliance on debt financing in relation to its equity. A lower ratio typically suggests a lower level of financial risk and a stronger financial position, as the company has less debt in proportion to its equity. Despite fluctuations in the ratio over the years, the overall trend shows a favorable direction towards a more conservative capital structure.


Peer comparison

Dec 31, 2024

Company name
Symbol
Financial leverage ratio
The Ensign Group Inc
ENSG
2.54
National HealthCare Corporation
NHC
1.44