Alphabet Inc Class A (GOOGL)
Solvency ratios
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.03 | 0.03 | 0.03 | 0.04 | 0.01 |
| Debt-to-capital ratio | 0.04 | 0.04 | 0.05 | 0.06 | 0.02 |
| Debt-to-equity ratio | 0.04 | 0.04 | 0.05 | 0.06 | 0.02 |
| Financial leverage ratio | 1.42 | 1.43 | 1.43 | 1.44 | 1.37 |
The solvency ratios of Alphabet Inc as of the given dates indicate a healthy financial position with regards to its debt obligations and capital structure.
The debt-to-assets ratio, which measures the proportion of the company's assets financed by debt, has been consistently low, indicating conservative use of debt to finance operations and investments. The trend shows a slight decrease over the years, suggesting an improved asset coverage.
Similarly, the debt-to-capital and debt-to-equity ratios, which also reflect the company's leverage and risk exposure, have remained at relatively low levels. This indicates that the company is relying more on equity financing rather than debt, which is generally viewed favorably by investors and creditors.
The financial leverage ratio, which assesses the extent to which the company is using debt to support its operations, has also been relatively stable and within reasonable limits. This implies that Alphabet Inc has been able to generate earnings at a level sufficient to cover the interest expenses associated with its debt.
Overall, the solvency ratios demonstrate that Alphabet Inc has maintained a conservative approach to managing its debt and capital structure, which contributes to its overall financial stability and ability to meet its long-term obligations.
Coverage ratios
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Interest coverage | 279.30 | 200.80 | 263.24 | 357.16 | 397.25 |
I'm sorry, but it seems that the table you provided does not contain the actual interest coverage ratio for Alphabet Inc for the years mentioned. Without this information, it's not possible to provide a detailed and comprehensive analysis of the interest coverage ratio for the company.
The interest coverage ratio is calculated by dividing a company's earnings before interest and taxes (EBIT) by its interest expense. It provides insight into a company's ability to meet its interest obligations on outstanding debt. A higher ratio indicates that the company is better positioned to cover its interest expenses.
If you can provide the actual interest coverage ratio for Alphabet Inc for the specified years, I'd be happy to offer a thorough analysis based on that data.