Insight Enterprises Inc (NSIT)
Solvency ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 3.60 | 3.62 | 3.12 | 3.11 | 3.21 |
Insight Enterprises Inc's solvency ratios indicate a strong financial position with consistently low debt levels relative to its assets, capital, and equity. The Debt-to-assets ratio, Debt-to-capital ratio, and Debt-to-equity ratio have all been reported as 0.00% across the years 2020 to 2024, suggesting the company operates with minimal debt in relation to its assets and financial structure.
Moreover, the Financial leverage ratio, which measures the company's financial leverage or the proportion of debt in its capital structure, has remained stable over the years, ranging from 3.11 to 3.62. This indicates that while the company utilizes some debt, it is not excessive, and the balance between debt and equity is well-managed.
Overall, Insight Enterprises Inc's solvency ratios reflect a conservative approach to leverage and debt management, positioning the company in a favorable financial position with a low risk of financial distress.
Coverage ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Interest coverage | 6.74 | 10.19 | 10.63 | 8.16 | 6.88 |
The interest coverage ratio for Insight Enterprises Inc has shown a generally positive trend over the past five years. The ratio increased from 6.88 in December 2020 to 8.16 in December 2021, indicating improved ability to cover interest expenses with operating income. This positive trend continued with a substantial increase to 10.63 in December 2022, reflecting a significant enhancement in the company's ability to meet its interest obligations.
However, there was a slight dip in the interest coverage ratio to 10.19 in December 2023, which may warrant further monitoring to ensure the company can comfortably cover its interest expenses. The ratio decreased further to 6.74 in December 2024, signaling a potential challenge in servicing its interest obligations compared to the previous year.
Overall, Insight Enterprises Inc has demonstrated strong interest coverage over the years, with occasional fluctuations. It is important for the company to maintain a healthy interest coverage ratio to ensure financial stability and mitigate risks associated with debt obligations.