Globus Medical (GMED)
Debt-to-equity ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 417,400 | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 3,997,960 | 1,846,370 | 1,741,390 | 1,506,300 | 1,402,450 |
| Debt-to-equity ratio | 0.10 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $417,400K ÷ $3,997,960K
= 0.10
The debt-to-equity ratio for Globus Medical Inc has shown a consistent downward trend over the past five years, indicating a decreasing reliance on debt financing relative to equity. In 2023, the ratio stands at 0.10, which means that for every dollar of shareholders' equity, the company has $0.10 in debt. This implies a relatively low level of financial leverage, suggesting a conservative approach to capital structure management. The significant decrease from previous years where the ratio was at 0.00 reflects a potentially deliberate strategy to reduce debt and improve the company's overall financial health. Overall, the trend signals a strong balance sheet position and financial stability for Globus Medical Inc.
Peer comparison
Dec 31, 2023