Permian Resources Corporation (PR)
Debt-to-equity ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 6,336,100 | 3,654,840 | 3,308,720 | 3,215,260 | 2,935,750 | 2,824,490 | 2,969,570 | 2,771,080 | 2,750,720 | 2,584,650 | 2,538,340 | 2,558,900 | 2,603,960 | 2,687,820 | 2,734,540 | 2,716,570 | 3,258,120 | 3,239,900 | 3,122,850 | 3,098,260 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $6,336,100K
= 0.00
Permian Resources Corp's debt-to-equity ratio has fluctuated over the past eight quarters, ranging from 0.27 to 0.82. A lower debt-to-equity ratio indicates that a company is using less debt to fund its operations and growth, which can be viewed positively by investors and creditors as it signals a lower financial risk.
The upward trend from Q1 2022 to Q4 2023 indicates that the company has been taking on more debt relative to its equity over this period. This could be a strategic move to finance expansion and investment opportunities, but it also raises concerns about the company's financial leverage and ability to meet its debt obligations.
It is worth noting that the debt-to-equity ratio peaked in Q4 2022 at 0.82, which may have triggered a response from management to bring the ratio down in the following quarters. However, the ratio remained above 0.6 for the most recent two quarters, indicating that the company still has a significant level of debt compared to its equity.
Overall, the trend in Permian Resources Corp's debt-to-equity ratio suggests a need for careful monitoring of the company's debt levels and financial health to ensure sustainable growth and financial stability.
Peer comparison
Dec 31, 2023