Howmet Aerospace Inc (HWM)
Debt-to-equity ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 4,554,000 | 4,037,000 | 3,601,000 | 3,508,000 | 3,580,000 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $4,554,000K
= 0.00
Based on the provided data, the debt-to-equity ratio of Howmet Aerospace Inc has been consistently 0.00 for the years 2020 to 2024. A debt-to-equity ratio of 0.00 indicates that the company has no debt or a minimal amount of debt compared to its equity. This suggests that the company is primarily financed by equity rather than debt, which can be viewed positively as it indicates a lower financial risk and a strong financial position. However, it is important to note that a very low debt-to-equity ratio could also mean missed opportunities for leveraging debt to potentially boost returns for shareholders. Overall, a consistent 0.00 debt-to-equity ratio for multiple years reflects a conservative approach to capital structure and a solid financial foundation for Howmet Aerospace Inc.
Peer comparison
Dec 31, 2024