Northern Oil & Gas Inc (NOG)
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 | 1,835,550 | 1,525,410 | 803,437 | 879,843 | 1,118,160 |
| Total stockholders’ equity | US$ in thousands | 2,047,680 | 745,260 | 215,135 | -223,304 | 558,643 |
| Debt-to-equity ratio | 0.90 | 2.05 | 3.73 | — | 2.00 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,835,550K ÷ $2,047,680K
= 0.90
The debt-to-equity ratio for Northern Oil and Gas Inc. has been showing a decreasing trend over the past few years, from 3.73 in 2021 to 0.90 in 2023. This indicates that the company has been reducing its reliance on debt to finance its operations and is moving towards a more balanced capital structure. The significant drop in the ratio from 2021 to 2023 demonstrates a substantial improvement in the company's financial leverage and risk management. This decline in the ratio suggests that the company is becoming less leveraged and may have improved its financial stability. Overall, the decreasing trend in the debt-to-equity ratio reflects positively on the company's financial health and management of its capital structure.
Peer comparison
Dec 31, 2023