Medtronic PLC (MDT)
Financial leverage ratio
| Apr 30, 2025 | Apr 30, 2024 | Apr 26, 2024 | Apr 30, 2023 | Apr 28, 2023 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 91,680,000 | 89,981,000 | 89,981,000 | 90,948,000 | 90,948,000 |
| Total stockholders’ equity | US$ in thousands | 48,024,000 | 50,214,000 | 50,214,000 | 51,483,000 | 51,483,000 |
| Financial leverage ratio | 1.91 | 1.79 | 1.79 | 1.77 | 1.77 |
April 30, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $91,680,000K ÷ $48,024,000K
= 1.91
The financial leverage ratio of Medtronic PLC has been relatively stable over the past few years, with the ratio hovering around 1.77 to 1.91. This indicates that the company relies more on debt financing rather than equity to fund its operations and investments. A ratio above 1 suggests that the company has more debt in its capital structure compared to equity. It is essential for investors and creditors to monitor this ratio as excessive leverage can increase financial risk and impact the company's ability to meet its obligations. Overall, the trend in Medtronic's financial leverage ratio suggests a consistent level of debt utilization in its capital structure.
Peer comparison
Apr 30, 2025