Envista Holdings Corp (NVST)
Debt-to-equity ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,278,300 | 1,398,100 | 870,700 | 883,400 | 907,700 |
| Total stockholders’ equity | US$ in thousands | 2,934,800 | 4,173,900 | 4,206,900 | 4,057,600 | 3,720,600 |
| Debt-to-equity ratio | 0.44 | 0.33 | 0.21 | 0.22 | 0.24 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,278,300K ÷ $2,934,800K
= 0.44
The debt-to-equity ratio for Envista Holdings Corp has been consistently low over the past few years, starting at 0.24 in December 31, 2020, decreasing to 0.22 in December 31, 2021, and further dropping to 0.21 in December 31, 2022. This indicates that the company has been relying more on equity financing rather than debt which can be seen as a positive sign of financial stability.
However, there was a notable increase in the debt-to-equity ratio to 0.33 in December 31, 2023, and a further rise to 0.44 in December 31, 2024. This increase might indicate a shift towards more debt financing, potentially increasing the financial risk for the company. It would be essential for stakeholders to monitor this trend in the coming periods to ensure that the company's debt levels remain sustainable and in line with its overall financial health.
Peer comparison
Dec 31, 2024