Paramount Global Class B (PARA)
Debt-to-capital ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 22,526,000 | 23,036,000 | 22,402,000 | 15,371,000 | 13,207,000 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $22,526,000K)
= 0.00
Paramount Global's debt-to-capital ratio has exhibited a declining trend over the past five years, decreasing from 0.59 in 2019 to 0.39 in 2023. This indicates that the company has reduced its reliance on debt financing relative to its total capital structure. The downward trend suggests that Paramount Global has become more conservative in its capital structure management, potentially reducing financial risk and improving overall financial stability. The decreasing debt-to-capital ratio may signal investor confidence and operational efficiency in managing debt levels. It is worth noting that a lower debt-to-capital ratio could also reflect a company's ability to generate sufficient cash flows to fund operations and investments without relying heavily on debt. Overall, the declining debt-to-capital ratio for Paramount Global suggests a positive trend in its financial leverage and capital structure management over the past five years.
Peer comparison
Dec 31, 2023