Pilgrims Pride Corp (PPC)
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 | 3,331,370 | 2,840,810 | 2,577,080 | 2,563,760 | 2,525,660 |
| 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 + $3,331,370K)
= 0.00
The debt-to-capital ratio of Pilgrim`s Pride Corp. has exhibited fluctuations over the past five years. The ratio has ranged from 0.48 to 0.56 during this period. In general, a lower debt-to-capital ratio indicates a lower level of financial leverage and suggests that the company relies less on debt financing to fund its operations and growth.
In 2023, the debt-to-capital ratio decreased to 0.51 from 0.54 in 2022, indicating a slight improvement in the company's capital structure as it reduced its reliance on debt compared to the previous year. This could be a positive sign as a lower ratio may indicate a more conservative financial strategy or improved financial health.
It is important to consider the trend of the debt-to-capital ratio over time to assess the company's long-term financial health and stability. Future analysis should also compare this ratio with industry benchmarks to provide further insights into Pilgrim`s Pride Corp.'s leverage relative to its peers in the industry.
Peer comparison
Dec 31, 2023