Matador Resources Company (MTDR)

Debt-to-equity ratio

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Long-term debt	US$ in thousands	2,206,630	1,005,000	1,020,000	475,000	465,000	440,000	420,000	455,000	485,000	477,500	592,500	674,000	774,000	1,842,000	1,745,210	1,662,310	1,294,420	1,514,020	1,483,620	1,398,230
Total stockholders’ equity	US$ in thousands	3,910,860	3,662,720	3,402,860	3,252,850	3,110,800	2,858,810	2,529,170	2,118,600	1,907,210	1,688,010	1,479,760	1,359,400	1,286,530	1,371,930	1,643,830	1,991,350	1,833,650	1,795,310	1,736,480	1,690,820
Debt-to-equity ratio		0.56	0.27	0.30	0.15	0.15	0.15	0.17	0.21	0.25	0.28	0.40	0.50	0.60	1.34	1.06	0.83	0.71	0.84	0.85	0.83

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $2,206,630K ÷ $3,910,860K
= 0.56

The debt-to-equity ratio of Matador Resources Co has fluctuated over the past eight quarters. In Q1 2023, the ratio was at its lowest point of 0.36, indicating a lower level of debt relative to equity. However, the ratio increased steadily in subsequent quarters, reaching its peak of 0.71 in Q1 2022. This upward trend suggests that the company has been taking on more debt compared to its equity position.

Overall, the average debt-to-equity ratio over the period under review is approximately 0.51, indicating that the company relies more on debt financing than equity to support its operations and growth initiatives. It is essential for investors and stakeholders to monitor this ratio closely, as a higher ratio may signal increased financial risk and potential challenges in servicing existing debt obligations. Conversely, a lower ratio may indicate a healthier financial position with less reliance on borrowed funds.