Juniper Networks Inc (JNPR)

Financial leverage ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total assets	US$ in thousands	9,518,500	9,326,700	8,887,000	9,378,300	8,837,700
Total stockholders’ equity	US$ in thousands	4,492,700	4,475,100	4,316,900	4,543,500	4,610,600
Financial leverage ratio		2.12	2.08	2.06	2.06	1.92

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $9,518,500K ÷ $4,492,700K
= 2.12

Juniper Networks Inc's financial leverage ratio has exhibited a gradual increase over the past five years, from 1.92 in 2019 to 2.12 in 2023. This indicates that the company's reliance on debt to finance its operations and investments has been growing steadily. A financial leverage ratio above 1 suggests that the company has more debt than equity in its capital structure.

The increasing trend in the financial leverage ratio may imply that Juniper Networks Inc is taking on more debt to fund its growth or to take advantage of opportunities in the market. While using debt can amplify returns, it also increases financial risk as the company will have higher interest payments and debt obligations to meet. It is important for investors and stakeholders to monitor this trend closely to assess the company's ability to manage its debt levels effectively and sustain its operations in the long term.