Grand Canyon Education Inc (LOPE)
Debt-to-capital 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 stockholders’ equity | US$ in thousands | 783,853 | 718,014 | 637,619 | 1,045,050 | 1,574,330 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.05 | 0.05 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $783,853K)
= 0.00
The debt-to-capital ratio for Grand Canyon Education Inc has remained stable at 0.05 as of December 31, 2020 and December 31, 2021. However, there was a significant decrease in this ratio to 0.00 as of December 31, 2022, and this trend continued through the following years (2023 and 2024). A debt-to-capital ratio of 0.00 indicates that the company has no debt relative to its total capital, which can be seen as a positive sign of financial health and reduced financial risk. This may suggest that Grand Canyon Education Inc has successfully managed its debt levels and is relying more on equity financing or other sources of funding. It is important to note that a low debt-to-capital ratio can also indicate conservative financial policies or potential underutilization of debt for capital structure optimization. Further analysis of the company's overall financial position would provide greater insights into its capital structure management and financing strategies.
Peer comparison
Dec 31, 2024