Grand Canyon Education Inc (LOPE)
Debt-to-assets ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | 53,755 | 74,630 |
| Total assets | US$ in thousands | 1,018,420 | 930,463 | 832,749 | 1,222,740 | 1,844,580 |
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.04 | 0.04 |
December 31, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $—K ÷ $1,018,420K
= 0.00
The debt-to-assets ratio of Grand Canyon Education Inc has exhibited a consistent and exceptionally low trend over the past five years. As of December 31, 2020, the ratio stood at 0.04, reflecting that only 4% of the company's assets were financed through debt. This ratio remained stable at 0.04 for the following year, maintaining the company's conservative debt utilization.
A noteworthy shift occurred in the subsequent years, as by December 31, 2022, the debt-to-assets ratio dropped to 0.00, denoting that the company had no debt relative to its total assets. This trend persisted through December 31, 2023, and December 31, 2024, with the ratio remaining at 0.00.
Such an exceptionally low and declining debt-to-assets ratio indicates Grand Canyon Education Inc's strong financial position and prudent financial management. The company is minimizing its reliance on debt to finance its operations and investments, which can enhance its financial stability and flexibility in the long term.
Peer comparison
Dec 31, 2024