KB Home (KBH)
Debt-to-equity ratio
| Nov 30, 2023 | Nov 30, 2022 | Nov 30, 2021 | Nov 30, 2020 | Nov 30, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 3,810,140 | 3,660,800 | 3,019,480 | 2,665,770 | 2,383,120 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
November 30, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $3,810,140K
= 0.00
The debt-to-equity ratio of KB Home has been consistently declining over the past five years, indicating a decreasing reliance on debt to finance its operations in relation to its equity. The ratio has decreased from 0.73 in 2019 to 0.44 in 2023. This downward trend suggests that the company has been effectively managing its debt levels and/or increasing equity, which can be interpreted as a positive sign for investors and creditors. A lower debt-to-equity ratio generally indicates a lower financial risk and a stronger financial position for the company. It also implies that the company has a good capacity to meet its debt obligations using its equity. Overall, this trend in the debt-to-equity ratio reflects a prudent and sustainable capital structure for KB Home.
Peer comparison
Nov 30, 2023