PulteGroup Inc (PHM)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 17,363,800 | 16,087,000 | 14,796,500 | 13,352,600 | 12,205,500 |
| Total stockholders’ equity | US$ in thousands | 12,122,000 | 10,383,300 | 8,914,100 | 7,489,520 | 6,569,990 |
| Financial leverage ratio | 1.43 | 1.55 | 1.66 | 1.78 | 1.86 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $17,363,800K ÷ $12,122,000K
= 1.43
The financial leverage ratio of PulteGroup Inc has been gradually declining over the past five years, indicating an improvement in the company's ability to meet its financial obligations using a combination of debt and equity. The ratio decreased from 1.86 as of December 31, 2020, to 1.43 as of December 31, 2024. This trend suggests that the company has been reducing its reliance on debt financing, which could lead to lower financial risk and increased stability in the long term. A decreasing financial leverage ratio generally indicates a stronger financial position and could be viewed positively by investors and creditors.
Peer comparison
Dec 31, 2024