Qualcomm Incorporated (QCOM)
Financial leverage 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 52,135,000 | 51,040,000 | 49,002,000 | 48,362,000 | 50,014,000 | 49,014,000 | 47,020,000 | 44,302,000 | 42,820,000 | 41,240,000 | 38,769,000 | 37,168,000 | 37,479,000 | 35,594,000 | 32,328,000 | 31,938,000 | 33,111,000 | 32,957,000 | 34,133,000 | 34,023,000 |
| Total stockholders’ equity | US$ in thousands | 23,058,000 | 21,581,000 | 20,670,000 | 19,698,000 | 18,810,000 | 18,013,000 | 16,048,000 | 13,328,000 | 11,333,000 | 9,950,000 | 8,177,000 | 7,424,000 | 7,380,000 | 6,077,000 | 3,306,000 | 3,045,000 | 4,513,000 | 4,909,000 | 5,463,000 | 3,866,000 |
| Financial leverage ratio | 2.26 | 2.37 | 2.37 | 2.46 | 2.66 | 2.72 | 2.93 | 3.32 | 3.78 | 4.14 | 4.74 | 5.01 | 5.08 | 5.86 | 9.78 | 10.49 | 7.34 | 6.71 | 6.25 | 8.80 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $52,135,000K ÷ $23,058,000K
= 2.26
The financial leverage ratio of Qualcomm Incorporated has fluctuated over the past few years, indicating changes in the company's capital structure and its use of debt financing. The ratio measures the extent to which the company relies on debt to finance its operations and investments.
Initially, the financial leverage ratio was relatively stable in the range of 2 to 3 from 2020 to mid-2022. However, starting from the second half of 2022, the ratio increased significantly, reaching a peak of 10.49 in March 2020. This sharp increase suggests a higher proportion of debt relative to equity in the company's capital structure during this period.
Subsequently, there was a gradual decline in the financial leverage ratio, indicating a potential deleveraging effort by Qualcomm Incorporated. By the end of 2023, the ratio had decreased to 2.26, indicating a more balanced mix of debt and equity in the company's financial structure.
Overall, the fluctuation in the financial leverage ratio of Qualcomm reflects changes in the company's financial strategy and risk profile over the analyzed period. Investors and stakeholders may closely monitor this ratio to assess the company's debt levels and financial stability.
Peer comparison
Dec 31, 2023