National Presto Industries Inc (NPK)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 453,397 | 440,536 | 411,847 | 420,398 | 433,170 |
| Total stockholders’ equity | US$ in thousands | 367,627 | 356,256 | 348,052 | 357,623 | 374,348 |
| Financial leverage ratio | 1.23 | 1.24 | 1.18 | 1.18 | 1.16 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $453,397K ÷ $367,627K
= 1.23
The financial leverage ratio of National Presto Industries Inc has exhibited a slight upward trend from 1.16 in December 31, 2020, to 1.23 in December 31, 2024. This indicates that the company's reliance on debt to finance its operations has increased over the years, which may pose higher financial risk. It is essential for stakeholders to monitor this ratio closely to ensure that the company's debt levels remain sustainable and do not put undue pressure on its financial stability.
Peer comparison
Dec 31, 2024
Company name
Symbol
Financial leverage ratio
National Presto Industries Inc
NPK
1.23
Axon Enterprise Inc.
AXON
1.92
Sturm Ruger & Company Inc
RGR
1.20