Public Service Enterprise Group Inc (PEG)
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 | 17,784,000 | 16,495,000 | 15,219,000 | 14,496,000 | 13,743,000 |
| Total stockholders’ equity | US$ in thousands | 14,098,000 | 12,352,000 | 13,542,000 | 15,123,000 | 14,258,000 |
| Debt-to-equity ratio | 1.26 | 1.34 | 1.12 | 0.96 | 0.96 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $17,784,000K ÷ $14,098,000K
= 1.26
The debt-to-equity ratio of Public Service Enterprise Group Inc. has experienced fluctuations over the past five years. The ratio decreased from 1.48 in 2022 to 1.35 in 2021 before increasing to 1.31 in 2023. This suggests that the company has been relying more on debt financing compared to equity in recent years.
The significant jump in the ratio from 1.08 in 2020 to 1.48 in 2022 indicates a substantial increase in debt relative to equity. This could signal a strategic shift towards leveraging debt to finance operations or investments during that period.
While the ratio has not returned to the lower levels seen in 2020, the recent slight decrease from 1.35 in 2021 to 1.31 in 2023 may indicate efforts to moderate the reliance on debt. Overall, the trend in Public Service Enterprise Group Inc.'s debt-to-equity ratio reflects a fluctuating capital structure, with a mix of debt and equity financing strategies being utilized in the company's operations.
Peer comparison
Dec 31, 2023