Generac Holdings Inc (GNRC)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 5,109,330 | 5,093,310 | 5,169,460 | 4,877,780 | 3,235,420 |
| Total stockholders’ equity | US$ in thousands | 2,494,280 | 2,340,250 | 2,257,380 | 2,213,770 | 1,390,290 |
| Financial leverage ratio | 2.05 | 2.18 | 2.29 | 2.20 | 2.33 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $5,109,330K ÷ $2,494,280K
= 2.05
Generac Holdings Inc's financial leverage ratio has shown a gradual decrease from 2.33 in December 31, 2020, to 2.05 by December 31, 2024. This indicates that the company has been effectively managing its debt levels relative to its equity over the years. The decreasing trend in the ratio suggests improved financial stability and reduced reliance on debt financing, which can be a positive sign for investors and creditors. It indicates that Generac Holdings Inc is becoming less leveraged and may be in a better position to weather economic downturns or financial challenges.
Peer comparison
Dec 31, 2024