PACCAR Inc (PCAR)
Debt-to-equity 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 | 15,878,800 | 13,167,100 | 11,594,000 | 10,533,300 | 9,706,100 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $15,878,800K
= 0.00
The trend in Paccar Inc.'s debt-to-equity ratio over the past five years shows a fluctuating pattern. The ratio decreased from 1.16 in 2019 to 0.90 in 2023, indicating a lower level of debt relative to equity. This reduction suggests that the company has been gradually relying less on debt financing and increasing its equity base. However, the ratio increased in 2021 to 0.91 before slightly decreasing to 0.87 in 2022. Despite these fluctuations, the overall trend signals an improvement in the company's capital structure and lower financial risk. It is essential to monitor this ratio in the future to assess Paccar Inc.'s ongoing ability to manage its debt levels effectively.
Peer comparison
Dec 31, 2023