Ovintiv Inc (OVV)
Debt-to-equity ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 5,453,000 | 5,454,000 | 5,454,000 | 3,176,000 | 3,177,000 | 3,178,000 | 3,687,000 | 4,775,000 | 4,786,000 | 4,791,000 | 4,796,000 | 5,300,000 | 6,367,000 | 7,142,000 | 7,366,000 | 7,006,000 | 6,974,000 |
| Total stockholders’ equity | US$ in thousands | 10,370,000 | 9,552,000 | 9,316,000 | 7,894,000 | 7,689,000 | 6,550,000 | 5,821,000 | 4,684,000 | 5,074,000 | 3,797,000 | 3,934,000 | 4,134,000 | 3,837,000 | 4,352,000 | 5,873,000 | 10,191,000 | 9,930,000 |
| Debt-to-equity ratio | 0.53 | 0.57 | 0.59 | 0.40 | 0.41 | 0.49 | 0.63 | 1.02 | 0.94 | 1.26 | 1.22 | 1.28 | 1.66 | 1.64 | 1.25 | 0.69 | 0.70 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $5,453,000K ÷ $10,370,000K
= 0.53
The debt-to-equity ratio of Ovintiv Inc has shown some fluctuations over the past eight quarters. In Q4 2023, the ratio stood at 0.56, indicating that the company had $0.56 in debt for every $1 of equity. This represented a decrease from the previous quarter's ratio of 0.65.
The trend over the last two quarters suggests a reduction in the company's reliance on debt to finance its operations. However, compared to Q1 and Q2 2022 where the ratio was 1.03 and 0.68 respectively, the current levels are relatively lower.
Overall, Ovintiv Inc's debt-to-equity ratio has been varying within a range, indicating a mixed approach to capital structure management. It is important for stakeholders to monitor these ratios alongside other financial metrics to assess the company's financial health and risk profile accurately.
Peer comparison
Dec 31, 2023