JB Hunt Transport Services Inc (JBHT)
Debt-to-assets ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,326,110 | 1,261,740 | 945,257 | 1,305,420 | 1,295,740 |
| Total assets | US$ in thousands | 8,538,000 | 7,787,000 | 6,794,000 | 5,928,350 | 5,470,850 |
| Debt-to-assets ratio | 0.16 | 0.16 | 0.14 | 0.22 | 0.24 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,326,110K ÷ $8,538,000K
= 0.16
The debt-to-assets ratio of J.B. Hunt Transport Services, Inc. has exhibited a declining trend from 0.24 in 2019 to 0.18 in 2023. This suggests that the company has been more successful in managing its debt relative to its total assets over the years. A lower debt-to-assets ratio indicates that the company relies less on debt financing and has a stronger asset base to support its operations. This trend could be interpreted positively by investors and creditors as it reflects improved financial stability, lower financial risk, and better overall financial health for the company. However, a debt-to-assets ratio of 0.18 in 2023 indicates that around 18% of the company's assets are financed by debt, and it is important to monitor this ratio over time to ensure that the company's debt levels remain sustainable and do not pose a risk to its long-term financial viability.
Peer comparison
Dec 31, 2023