Hess Corporation (HES)
Debt-to-capital ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 8,302,000 | 8,241,000 | 8,459,000 | 8,382,000 | 8,278,000 | 8,303,000 | 8,332,000 | 7,934,000 | 7,941,000 | 7,993,000 | 7,712,000 | 8,273,000 | 8,286,000 | 8,280,000 | 8,205,000 | 8,191,000 | 7,142,000 | 6,526,000 | 6,511,000 | 6,550,000 |
| Total stockholders’ equity | US$ in thousands | 8,986,000 | 8,631,000 | 8,272,000 | 8,133,000 | 7,855,000 | 7,559,000 | 7,136,000 | 6,308,000 | 6,300,000 | 5,609,000 | 5,488,000 | 5,616,000 | 5,366,000 | 5,916,000 | 6,395,000 | 7,200,000 | 8,732,000 | 8,908,000 | 9,294,000 | 9,342,000 |
| Debt-to-capital ratio | 0.48 | 0.49 | 0.51 | 0.51 | 0.51 | 0.52 | 0.54 | 0.56 | 0.56 | 0.59 | 0.58 | 0.60 | 0.61 | 0.58 | 0.56 | 0.53 | 0.45 | 0.42 | 0.41 | 0.41 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $8,302,000K ÷ ($8,302,000K + $8,986,000K)
= 0.48
The debt-to-capital ratio of Hess Corporation has been relatively stable over the past eight quarters, ranging from 0.49 to 0.57. The ratio measures the proportion of the company's capital that is funded by debt, with higher values indicating higher levels of debt relative to total capital.
Hess Corporation's debt-to-capital ratio has hovered around the range of 0.49 to 0.57, showing a moderate level of leverage in the company's capital structure. While a higher ratio typically indicates increased financial risk due to a higher proportion of debt, it can also imply greater financial flexibility and potential for higher returns.
The consistency in the debt-to-capital ratio over these quarters suggests that Hess Corporation has maintained a stable debt position relative to its capital base. It is important for stakeholders to monitor this ratio to assess the company's ability to manage its debt levels effectively and sustain its financial health in the long term.
Peer comparison
Dec 31, 2023