Pinnacle West Capital Corp (PNW)
Debt-to-equity ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 8,058,650 | 7,540,620 | 7,741,290 | 6,913,740 | 6,314,270 |
| Total stockholders’ equity | US$ in thousands | 6,754,310 | 6,177,660 | 6,048,650 | 5,906,200 | 5,633,500 |
| Debt-to-equity ratio | 1.19 | 1.22 | 1.28 | 1.17 | 1.12 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $8,058,650K ÷ $6,754,310K
= 1.19
The debt-to-equity ratio of Pinnacle West Capital Corp has exhibited an upward trend over the past five years. Starting at 1.12 on December 31, 2020, the ratio increased to 1.17 by the end of 2021, further rising to 1.28 by December 31, 2022. However, there was a slight decrease to 1.22 by the end of 2023 and a subsequent drop to 1.19 by December 31, 2024. Overall, the ratio indicates that the company has been relying more on debt financing compared to equity over the years, albeit with some fluctuations. It is important for stakeholders to monitor this ratio and assess the company's ability to manage its debt levels effectively.
Peer comparison
Dec 31, 2024