Gen Digital Inc. (GEN)

Debt-to-capital ratio

		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	Dec 31, 2019	Sep 30, 2019	Jul 5, 2019
Long-term debt	US$ in thousands	8,429,000	9,081,000	9,333,000	9,327,000	9,529,000	9,831,000	9,883,000	2,714,000	2,736,000	2,757,000	2,779,000	3,422,000	3,288,000	3,542,000	3,556,000	2,841,000	3,465,000	3,719,000	3,219,000	3,964,000
Total stockholders’ equity	US$ in thousands	2,197,000	2,418,000	2,414,000	2,337,000	2,200,000	1,310,000	1,698,000	-299,000	-93,000	-98,000	-232,000	-497,000	-500,000	-492,000	-476,000	-503,000	10,000	8,677,000	6,112,000	5,250,000
Debt-to-capital ratio		0.79	0.79	0.79	0.80	0.81	0.88	0.85	1.12	1.04	1.04	1.09	1.17	1.18	1.16	1.15	1.22	1.00	0.30	0.34	0.43

March 31, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $8,429,000K ÷ ($8,429,000K + $2,197,000K)
= 0.79

The debt-to-capital ratio of Gen Digital Inc. has shown some fluctuations over the past several quarters. As of March 31, 2024, the ratio stands at 0.79, which indicates that the company's debt represents 79% of its total capital. This ratio has remained relatively stable at around 0.79 to 0.81 in the most recent quarters, suggesting a consistent level of leverage within the company.

However, there were periods of higher leverage in the past, notably in the second quarter of 2022 and the first quarter of 2021 when the ratio peaked at 1.12 and 1.18, respectively. These higher ratios indicate that the company had higher levels of debt relative to its total capital during those periods.

On the other hand, there were also instances of lower leverage, such as in the second and third quarters of 2019 when the ratio was around 0.30 to 0.43. This implies that the company had lower debt levels relative to its total capital during those periods.

Overall, the trend in Gen Digital Inc.'s debt-to-capital ratio suggests that the company has generally maintained a moderate level of leverage, with some fluctuations over time. Monitoring this ratio can provide insights into the company's financial leverage and its ability to meet its debt obligations.