Universal Display (OLED)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 1,832,330 | 1,668,960 | 1,532,820 | 1,466,920 | 1,269,230 |
| Total stockholders’ equity | US$ in thousands | 1,616,520 | 1,447,230 | 1,275,370 | 1,099,910 | 912,714 |
| Financial leverage ratio | 1.13 | 1.15 | 1.20 | 1.33 | 1.39 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,832,330K ÷ $1,616,520K
= 1.13
Universal Display's financial leverage ratio has shown a decreasing trend over the past five years, declining from 1.39 in December 2020 to 1.13 in December 2024. This indicates that the company has been reducing its reliance on debt financing relative to equity. A lower financial leverage ratio suggests a healthier balance sheet and less risk associated with high debt levels. The decreasing trend in the ratio may be a positive sign of improved financial stability and management's efforts to strengthen the company's capital structure.
Peer comparison
Dec 31, 2024
Company name
Symbol
Financial leverage ratio
Universal Display
OLED
1.13
Hubbell Inc
HUBB
2.04
Mercury Systems Inc
MRCY
1.62
Vishay Intertechnology Inc
VSH
2.03