Diamondback Energy Inc (FANG)

Debt-to-capital ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Long-term debt	US$ in thousands	6,641,000	6,238,000	6,642,000	5,624,000	5,371,000
Total stockholders’ equity	US$ in thousands	16,625,000	15,009,000	12,088,000	8,794,000	13,249,000
Debt-to-capital ratio		0.29	0.29	0.35	0.39	0.29

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $6,641,000K ÷ ($6,641,000K + $16,625,000K)
= 0.29

The debt-to-capital ratio of Diamondback Energy Inc has displayed some fluctuations over the past five years. The ratio stood at 0.29 as of December 31, 2023, consistent with the same level as in the previous year of 2022. In comparison to earlier years, the ratio was at 0.36 as of December 31, 2021, showing a slight increase from the previous year. The most significant increase was noted in 2020, where the ratio reached 0.40, signaling a higher proportion of debt to total capital. Prior to 2020, the ratio was at 0.29 in both 2019 and 2018.

Overall, although there have been fluctuations in the debt-to-capital ratio of Diamondback Energy Inc, it appears that the company has maintained a relatively moderate level of debt in relation to its total capital structure over the past five years, with a downward trend being observed in recent years. This indicates a balanced approach to financing its operations and investments.