Hess Corporation (HES)
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 | 8,302,000 | 8,278,000 | 7,941,000 | 8,286,000 | 7,142,000 |
| Total stockholders’ equity | US$ in thousands | 8,986,000 | 7,855,000 | 6,300,000 | 5,366,000 | 8,732,000 |
| Debt-to-equity ratio | 0.92 | 1.05 | 1.26 | 1.54 | 0.82 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $8,302,000K ÷ $8,986,000K
= 0.92
Hess Corporation's debt-to-equity ratio has shown fluctuations over the past five years. The ratio stood at 0.98 as of December 31, 2023, indicating that the company's debt level relative to its equity has decreased compared to the previous year. This suggests a more conservative approach to financing its operations.
Looking back, in 2022, the debt-to-equity ratio was 1.08, showing a slight increase from the prior year. However, in 2021 and 2020, the ratio was 1.38 and 1.59, respectively, indicating higher debt levels relative to equity during those years. It suggests that the company was more leveraged during those periods.
On the other hand, in 2019, the debt-to-equity ratio was 0.85, signaling a lower debt level relative to equity compared to the following years. This could indicate a period of deleveraging or increased equity financing.
Overall, the trend in Hess Corporation's debt-to-equity ratio reflects varying degrees of leverage and financial risk over the past five years, with the most recent data showing a slight improvement in the company's debt position relative to equity.
Peer comparison
Dec 31, 2023