Light & Wonder Inc (LNW)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 5,552,000 | 6,009,000 | 7,883,000 | 7,984,000 | 7,809,000 |
| Total stockholders’ equity | US$ in thousands | 765,000 | 990,000 | -2,256,000 | -2,653,000 | -2,108,000 |
| Financial leverage ratio | 7.26 | 6.07 | — | — | — |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $5,552,000K ÷ $765,000K
= 7.26
The financial leverage ratio of Light & Wonder Inc has shown an increasing trend over the past three years, with values of 6.07 in 2022 and 7.26 in 2023. This indicates that the company is relying more on debt financing compared to equity to fund its operations and investments. A higher financial leverage ratio signifies a higher level of financial risk, as the company has a greater amount of debt in its capital structure. It is important for stakeholders to closely monitor this trend to ensure that the company's debt levels remain sustainable and manageable in the long run. Additionally, the absence of data for the years 2021, 2020, and 2019 limits a thorough analysis of the company's historical leverage position and trend.
Peer comparison
Dec 31, 2023