PDF Solutions Inc (PDFS)
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 | 228,946 | 210,012 | 219,585 | 234,506 | 196,157 |
| 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 ÷ $228,946K
= 0.00
The debt-to-equity ratio for PDF Solutions Inc. has consistently been at 0.00 for the past five years. This implies that the company has not utilized any debt financing and has been solely reliant on equity to finance its operations and growth. A debt-to-equity ratio of 0.00 typically indicates that the company has a strong financial position with low financial risk as there is no debt that needs to be repaid, leading to lower interest expenses and potential financial constraints. However, it is essential to note that while a low debt-to-equity ratio may suggest financial stability, it may also limit the company's ability to take advantage of potential growth opportunities that could be leveraged through debt financing. Further analysis of the company's overall financial strategy and performance would be necessary to fully assess the implications of this consistent 0.00 debt-to-equity ratio.
Peer comparison
Dec 31, 2023