Mueller Industries Inc (MLI)
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 | 185 | 1,218 | 1,064 | 286,593 | 378,724 |
| Total stockholders’ equity | US$ in thousands | 2,337,440 | 1,790,910 | 1,222,120 | 776,745 | 643,468 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.37 | 0.59 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $185K ÷ $2,337,440K
= 0.00
The debt-to-equity ratio of Mueller Industries Inc has shown a decreasing trend over the past five years, indicating a significant reduction in the company's reliance on debt financing in relation to its equity. The ratio was 0.59 in 2019, which has gradually decreased to 0.00 by the end of 2023.
A debt-to-equity ratio of 0.00 implies that the company has either no debt or a negligible amount of debt in relation to its equity. This could suggest a strong financial position with a lower risk of financial distress due to debt obligations.
The consistent decline in the debt-to-equity ratio reflects potential strategic shifts in the company's capital structure, moving towards a more conservative and financially stable position. It is crucial for stakeholders to closely monitor this trend to assess the company's ability to fund its operations, expansion, and other capital requirements.
Peer comparison
Dec 31, 2023