Hub Group Inc (HUBG)

Debt-to-capital ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Long-term debt	US$ in thousands	245,574	240,724	177,479	176,797	186,934
Total stockholders’ equity	US$ in thousands	1,634,640	1,599,600	1,340,310	1,157,920	1,075,280
Debt-to-capital ratio		0.13	0.13	0.12	0.13	0.15

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $245,574K ÷ ($245,574K + $1,634,640K)
= 0.13

The debt-to-capital ratio for Hub Group, Inc. has been relatively consistent over the past five years, hovering between 0.17 and 0.21. This ratio indicates the proportion of the company's capital that is financed by debt.

In 2023 and 2022, the debt-to-capital ratio remained stable at 0.18, suggesting a consistent balance between debt and capital in the company's financial structure. The 2021 ratio of 0.17 indicates a slightly lower dependency on debt for financing capital, which may be viewed positively as it reduces financial risk.

In contrast, the ratios for 2020 and 2019 were slightly higher at 0.19 and 0.21 respectively, indicating a relatively higher level of debt compared to capital during those years. This could suggest a more leveraged capital structure in those periods.

Overall, the trend in the debt-to-capital ratio for Hub Group, Inc. reflects a moderate and stable reliance on debt as a source of financing over the past five years. It is important for investors and stakeholders to monitor this ratio to assess the company's overall financial health and risk profile.