Hyatt Hotels Corporation (H)
Debt-to-equity ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 3,326,000 | 2,687,000 | 2,684,000 | 2,304,000 | 2,305,000 | 3,049,000 | 3,053,000 | 2,454,000 | 2,453,000 | 3,150,000 | 3,798,000 | 3,815,000 | 3,968,000 | 2,978,000 | 2,986,000 | 2,982,000 | 2,984,000 | 2,981,000 | 2,491,000 | 1,602,000 |
| Total stockholders’ equity | US$ in thousands | 3,547,000 | 3,697,000 | 3,850,000 | 3,657,000 | 3,564,000 | 3,586,000 | 3,682,000 | 3,693,000 | 3,699,000 | 3,443,000 | 3,609,000 | 3,521,000 | 3,563,000 | 3,586,000 | 2,906,000 | 2,885,000 | 3,211,000 | 3,350,000 | 3,490,000 | 3,705,000 |
| Debt-to-equity ratio | 0.94 | 0.73 | 0.70 | 0.63 | 0.65 | 0.85 | 0.83 | 0.66 | 0.66 | 0.91 | 1.05 | 1.08 | 1.11 | 0.83 | 1.03 | 1.03 | 0.93 | 0.89 | 0.71 | 0.43 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $3,326,000K ÷ $3,547,000K
= 0.94
The debt-to-equity ratio of Hyatt Hotels Corporation has fluctuated over the past few years, ranging from a low of 0.43 in March 2020 to a high of 1.11 in December 2021. The trend shows an overall increase in leverage, with the ratio generally increasing over time. Higher debt-to-equity ratios indicate that the company relies more on debt financing compared to equity, which can be a sign of financial risk.
It's important to note that a high debt-to-equity ratio may not always be negative, as it can also indicate that the company is effectively using debt to finance operations and drive growth. However, a significantly high ratio can also raise concerns about the company's ability to meet its financial obligations and may impact its creditworthiness.
For Hyatt Hotels Corporation, the ratio peaked at 1.11 in December 2021 but has since decreased to 0.94 by December 2024. This downward trend suggests that the company may be reducing its reliance on debt financing and moving towards a more balanced capital structure. Overall, monitoring and analyzing the debt-to-equity ratio can provide valuable insights into the financial health and risk profile of the company.
Peer comparison
Dec 31, 2024