Ovintiv Inc (OVV)
Financial leverage ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 19,254,000 | 70,914,000 | 19,809,000 | 19,834,000 | 19,987,000 | 19,900,000 | 19,519,000 | 15,123,000 | 15,056,000 | 14,374,000 | 14,923,000 | 14,900,000 | 14,055,000 | 13,636,000 | 13,767,000 | 14,534,000 | 14,469,000 | 15,157,000 | 16,795,000 | 21,505,000 |
| Total stockholders’ equity | US$ in thousands | 10,331,000 | 10,655,000 | 10,328,000 | 10,262,000 | 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 |
| Financial leverage ratio | 1.86 | 6.66 | 1.92 | 1.93 | 1.93 | 2.08 | 2.10 | 1.92 | 1.96 | 2.19 | 2.56 | 3.18 | 2.77 | 3.59 | 3.50 | 3.52 | 3.77 | 3.48 | 2.86 | 2.11 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $19,254,000K ÷ $10,331,000K
= 1.86
The financial leverage ratio of Ovintiv Inc has shown significant fluctuations over the period from March 31, 2020, to December 31, 2024. The ratio started at 2.11 in March 2020, increased steadily to 3.77 by December 2020, and then decreased slightly to 3.52 in March 2021. Subsequently, it fluctuated in a narrower range between 2.56 and 3.59 until December 2021.
From March 31, 2022, to June 30, 2023, the financial leverage ratio remained relatively stable, ranging from 1.92 to 3.18. However, a significant spike occurred on September 30, 2024, with the ratio soaring to 6.66, indicating a potentially high level of leverage at that point. This sudden increase could be a cause for concern as it suggests a substantial shift in the company's capital structure.
By December 31, 2024, the ratio declined sharply to 1.86, which may indicate a decrease in leverage or a change in the company's debt levels compared to the previous quarter. Overall, the fluctuating trend in Ovintiv Inc's financial leverage ratio reflects changes in the company's capital structure and financial risk position over the analyzed period. Further analysis would be needed to determine the reasons behind these fluctuations and their potential implications for the company's financial health.
Peer comparison
Dec 31, 2024