Medtronic PLC (MDT)

Financial leverage ratio

		Apr 26, 2024	Jan 26, 2024	Oct 27, 2023	Jul 28, 2023	Apr 28, 2023	Jan 27, 2023	Oct 28, 2022	Jul 29, 2022	Apr 29, 2022	Jan 28, 2022	Oct 29, 2021	Jul 30, 2021	Apr 30, 2021	Jan 29, 2021	Oct 30, 2020	Jul 31, 2020	Apr 24, 2020	Jan 24, 2020	Oct 25, 2019	Jul 26, 2019
Total assets	US$ in thousands	89,981,000	90,836,000	90,087,000	90,776,000	90,948,000	94,134,000	93,241,000	89,914,000	90,981,000	91,804,000	91,756,000	91,802,000	93,083,000	97,270,000	95,886,000	93,906,000	90,689,000	92,822,000	91,053,000	91,268,000
Total stockholders’ equity	US$ in thousands	50,214,000	51,792,000	51,460,000	51,178,000	51,483,000	51,441,000	51,880,000	52,672,000	52,551,000	52,542,000	51,991,000	51,486,000	51,428,000	50,758,000	50,164,000	50,296,000	50,737,000	51,808,000	50,578,000	50,363,000
Financial leverage ratio		1.79	1.75	1.75	1.77	1.77	1.83	1.80	1.71	1.73	1.75	1.76	1.78	1.81	1.92	1.91	1.87	1.79	1.79	1.80	1.81

April 26, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $89,981,000K ÷ $50,214,000K
= 1.79

The financial leverage ratio of Medtronic PLC has shown some fluctuations over the past few quarters, ranging from 1.71 to 1.92. The ratio indicates the proportion of the company's debt in relation to its equity. A higher financial leverage ratio suggests that the company relies more on debt financing, which can magnify returns but also increases risk.

In the most recent quarter, the financial leverage ratio was 1.79, which is in line with the range observed over the previous quarters. This indicates that the company's debt levels relative to equity have remained relatively stable.

Overall, it is important for investors and stakeholders to monitor changes in the financial leverage ratio over time to assess the company's risk profile and financial stability. Variations in the ratio could signify shifts in the company's capital structure and financing decisions, which may impact its overall financial health.