PulteGroup Inc (PHM)
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 | 10,383,300 | 8,914,100 | 7,489,520 | 6,569,990 | 5,458,180 |
| 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 + $10,383,300K)
= 0.00
The debt-to-capital ratio of PulteGroup Inc has been showing a decreasing trend over the past five years, which indicates a strengthening financial position in terms of leverage. The ratio decreased from 0.37 in 2019 to 0.19 in 2023. This downward trend suggests that the company has been reducing its reliance on debt to finance its operations and investments, and has been increasing its capital base relative to its debt obligations. A lower debt-to-capital ratio is generally considered favorable as it signifies lower financial risk and greater financial stability. PulteGroup Inc's decreasing debt-to-capital ratio over the years reflects a prudent approach to managing its capital structure and debt levels, which may lead to improved financial performance and sustainability in the long run.
Peer comparison
Dec 31, 2023