Heartland Express Inc (HTLD)

Financial leverage ratio

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Total assets US$ in thousands 1,509,650 1,669,490 928,542 951,176 898,931
Total stockholders’ equity US$ in thousands 865,260 855,477 727,102 724,334 684,659
Financial leverage ratio 1.74 1.95 1.28 1.31 1.31

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,509,650K ÷ $865,260K
= 1.74

The financial leverage ratio of Heartland Express, Inc. has varied over the past five years. In 2023, the ratio decreased to 1.74 from 1.95 in 2022, indicating a lower level of financial leverage. This reduction may suggest that the company relied less on debt financing in 2023 compared to the previous year. However, the ratio remains higher than the levels seen in 2021, 2020, and 2019, when it ranged between 1.28 and 1.31.

The downward trend in the financial leverage ratio since 2022 could imply that Heartland Express, Inc. has been actively managing its debt levels or improving its financial position. A lower financial leverage ratio typically indicates lower financial risk and greater financial stability, as the company is less dependent on debt to finance its operations.

Overall, the decreasing trend in the financial leverage ratio of Heartland Express, Inc. suggests a potentially prudent approach to managing its capital structure and financial obligations in recent years.


Peer comparison

Dec 31, 2023