Meritage Corporation (MTH)
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 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 4,611,900 | 4,421,040 | 4,248,300 | 4,067,210 | 3,949,610 | 3,681,810 | 3,412,470 | 3,168,320 | 3,044,390 | 2,825,270 | 2,628,140 | 2,476,690 | 2,347,870 | 2,199,850 | 2,084,600 | 1,990,770 | 1,973,990 | 1,873,570 | 1,798,100 | 1,743,070 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $4,611,900K
= 0.00
Based on the data provided, Meritage Homes Corp.'s debt-to-equity ratio has been gradually decreasing over the past eight quarters, indicating a positive trend in the company's financial leverage. The ratio has decreased from 0.37 in Q1 2022 to 0.22 in Q4 2023, reflecting a conservative approach to financing the company's operations.
A lower debt-to-equity ratio suggests that the company relies less on debt to finance its operations and growth, which could indicate a lower financial risk and a stronger financial position. This trend may be favorable to stakeholders such as investors and creditors, as it indicates a more conservative capital structure.
Overall, the decreasing trend in Meritage Homes Corp.'s debt-to-equity ratio over the past eight quarters indicates improved financial health and prudent management of the company's capital structure.
Peer comparison
Dec 31, 2023