Option Care Health Inc (OPCH)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 3,217,040 | 3,112,940 | 2,790,920 | 2,647,440 | 2,589,550 |
| Total stockholders’ equity | US$ in thousands | 1,421,670 | 1,386,100 | 1,175,890 | 1,015,720 | 906,827 |
| Financial leverage ratio | 2.26 | 2.25 | 2.37 | 2.61 | 2.86 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $3,217,040K ÷ $1,421,670K
= 2.26
Option Care Health Inc.'s financial leverage ratio has been fluctuating over the past five years, ranging from 2.26 in 2023 to 2.86 in 2019. The decreasing trend indicates a potential improvement in the company's ability to meet its financial obligations with equity rather than debt. However, the ratio of 2.26 in 2023 still suggests that a significant portion of the company's assets are financed through debt, exposing it to higher financial risk compared to companies with lower leverage ratios. It would be important for Option Care Health Inc. to continue monitoring and managing its leverage effectively to maintain financial stability and sustainability.
Peer comparison
Dec 31, 2023