PACCAR Inc (PCAR)
Debt-to-capital ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 17,506,900 | 15,878,800 | 13,167,100 | 11,594,000 | 10,533,300 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $17,506,900K)
= 0.00
The debt-to-capital ratio for PACCAR Inc over the years from December 31, 2020, to December 31, 2024, consistently stands at 0.00. This indicates that the company has not utilized any debt in its capital structure during this period. A debt-to-capital ratio of 0.00 means that PACCAR's capital is entirely funded by equity, and the company does not have any financial leverage through debt. While this may signify financial stability and lower risk due to no debt obligations, it also suggests potential missed opportunities for leveraging debt to potentially enhance returns on equity. It would be prudent for stakeholders to further investigate the company's capital structure and evaluate the reasons behind the consistently low debt-to-capital ratio.
Peer comparison
Dec 31, 2024