Hub Group Inc (HUBG)

Financial leverage 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
Total assets US$ in thousands 2,868,340 2,833,120 2,858,700 2,891,270 2,936,050 2,918,130 2,800,040 2,887,980 2,810,080 2,752,660 2,679,240 2,547,130 2,437,290 2,291,480 2,186,220 2,154,770 2,105,400 2,064,970 1,999,180 2,094,610
Total stockholders’ equity US$ in thousands 1,645,000 1,626,270 1,641,130 1,622,220 1,634,640 1,629,070 1,610,740 1,659,050 1,599,600 1,517,380 1,535,190 1,426,970 1,340,310 1,255,120 1,207,080 1,176,500 1,157,920 1,135,010 1,105,840 1,088,710
Financial leverage ratio 1.74 1.74 1.74 1.78 1.80 1.79 1.74 1.74 1.76 1.81 1.75 1.78 1.82 1.83 1.81 1.83 1.82 1.82 1.81 1.92

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,868,340K ÷ $1,645,000K
= 1.74

The financial leverage ratio for Hub Group Inc has been relatively stable over the past few years, ranging between 1.74 and 1.92. It measures the company's use of debt to finance its operations and indicates the proportion of assets that are financed by debt rather than equity.

A financial leverage ratio of 1.74 to 1.92 suggests that the company relies more on debt financing compared to equity funding. A lower ratio may indicate lower financial risk, as the company is less reliant on debt to operate. Conversely, a higher ratio implies higher financial risk, as the company may have more debt obligations to service, which can be challenging during economic downturns.

Overall, Hub Group Inc's financial leverage ratio hovering around 1.8 indicates a moderate level of debt utilization, which may be manageable depending on the company's ability to generate sufficient cash flows to meet its debt obligations. It's essential for investors and stakeholders to monitor this ratio over time to assess the company's financial health and risk profile.