Marriott International Inc (MAR)
Debt-to-equity ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 11,197,000 | 9,249,000 | 8,144,000 | 8,157,000 | 9,812,000 |
| Total stockholders’ equity | US$ in thousands | -682,000 | 568,000 | 1,414,000 | 430,000 | 703,000 |
| Debt-to-equity ratio | — | 16.28 | 5.76 | 18.97 | 13.96 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $11,197,000K ÷ $-682,000K
= —
The debt-to-equity ratio of Marriott International, Inc. has fluctuated over the past five years. In 2022, the company had a debt-to-equity ratio of 17.72, indicating that its debt levels were approximately 17.72 times the equity. This was a significant increase from 2021 when the ratio was 7.17. In 2020, the ratio stood at 24.13, reflecting a higher reliance on debt compared to equity. The ratio decreased from 2019 when it was 15.56.
The variations in the debt-to-equity ratio suggest that Marriott International, Inc. has been managing its capital structure differently over the years, potentially adjusting its financing strategies in response to market conditions or business goals. A higher ratio indicates a greater proportion of debt relative to equity, which may expose the company to higher financial risk but could also signal potential leveraging for growth opportunities. Conversely, a lower ratio implies a less leveraged position, which could offer greater stability but may limit flexibility in capital allocation.
Overall, a thorough assessment of Marriott International, Inc.'s debt-to-equity ratio trends across multiple years can provide valuable insights into the company's financial health, risk management practices, and strategic decisions regarding capital structure.
Peer comparison
Dec 31, 2023