Corning Incorporated (GLW)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 27,735,000 | 28,500,000 | 29,499,000 | 30,154,000 | 30,775,000 |
| Total stockholders’ equity | US$ in thousands | 10,686,000 | 11,551,000 | 12,008,000 | 12,333,000 | 13,257,000 |
| Financial leverage ratio | 2.60 | 2.47 | 2.46 | 2.44 | 2.32 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $27,735,000K ÷ $10,686,000K
= 2.60
The financial leverage ratio of Corning Incorporated has shown a consistent upward trend over the past five years, increasing from 2.32 in December 2020 to 2.60 in December 2024. This indicates that the company has been relying more on debt financing relative to equity over this period. A financial leverage ratio above 1 suggests that the company is using more debt to finance its operations, which can magnify profits but also increase financial risk. It is essential for investors and stakeholders to monitor this trend closely as higher leverage levels can potentially impact the company's ability to meet its debt obligations and overall financial stability.
Peer comparison
Dec 31, 2024