Power Integrations Inc (POWI)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 828,826 | 819,868 | 840,096 | 1,014,490 | 903,339 |
| Total stockholders’ equity | US$ in thousands | 749,772 | 752,241 | 755,216 | 912,032 | 810,411 |
| Financial leverage ratio | 1.11 | 1.09 | 1.11 | 1.11 | 1.11 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $828,826K ÷ $749,772K
= 1.11
The financial leverage ratio of Power Integrations Inc has been relatively stable over the past five years. As of December 31, 2020, the ratio stood at 1.11 and remained consistent at the same level for the subsequent years up to December 31, 2022. However, there was a slight decrease in the ratio to 1.09 as of December 31, 2023, before returning to 1.11 by December 31, 2024. This indicates that the company has maintained a conservative level of debt relative to its equity throughout the period, which may suggest a lower financial risk and stronger financial position.
Peer comparison
Dec 31, 2024