Sturm Ruger & Company Inc (RGR)
Solvency ratios
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets 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 |
| Debt-to-capital 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 |
| 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 |
| Financial leverage ratio | 1.20 | 1.19 | 1.17 | 1.16 | 1.20 | 1.19 | 1.19 | 1.21 | 1.53 | 1.16 | 1.15 | 1.18 | 1.22 | 1.24 | 1.25 | 1.26 | 1.32 | 1.29 | 1.25 | 1.22 |
The solvency ratios for Sturm Ruger & Company Inc indicate a strong financial position with consistently low levels of debt relative to its assets, capital, and equity.
- Debt-to-assets ratio: This ratio shows the proportion of the company's assets financed by debt. Sturm Ruger & Company Inc has maintained a debt-to-assets ratio of 0.00 across all reported periods, indicating that the company has no debt relative to its total assets.
- Debt-to-capital ratio: This ratio signifies the extent of the company's capital that is financed through debt. Similar to the debt-to-assets ratio, the debt-to-capital ratio for Sturm Ruger & Company Inc remains at 0.00 for all reported periods, highlighting a lack of reliance on debt for capital funding.
- Debt-to-equity ratio: The debt-to-equity ratio reflects the company's leverage and financial risk. Sturm Ruger & Company Inc shows a consistent debt-to-equity ratio of 0.00, implying that the company's equity is not burdened by significant debt obligations.
- Financial leverage ratio: This ratio measures the company's financial leverage or the degree of financial risk borne by the business. Sturm Ruger & Company Inc demonstrates a declining trend in the financial leverage ratio from 1.22 in March 2020 to 1.20 in December 2024, suggesting a reduction in financial risk over time.
Overall, based on the solvency ratios, Sturm Ruger & Company Inc appears to have a solid financial foundation with low debt levels and a prudent approach to managing its capital structure and financial obligations. The consistent low ratios indicate a conservative financial strategy that helps maintain stability and resilience in the company's financial position.
Coverage ratios
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 325.36 | 359.74 | 199.40 | 251.65 | 287.95 | 301.35 | 420.49 | 460.22 | 423.96 | 590.15 | 631.53 | 769.31 | 1,116.13 | 1,060.59 | 987.22 | 790.27 | 623.81 | 400.59 | 309.04 | 225.57 |
Sturm Ruger & Company Inc's interest coverage ratio has shown a fluctuating trend over the past few years, ranging from a high of 1,116.13 on December 31, 2021, to a low of 199.40 on June 30, 2024. This ratio indicates the company's ability to meet its interest obligations from its operating income. A higher interest coverage ratio is generally seen as more favorable, as it suggests that the company is generating more than enough operating income to cover its interest expenses.
The company's interest coverage ratio peaked in the first quarter of 2022 at 1,116.13, demonstrating a strong ability to meet its interest payments with its operating earnings. However, there has been a subsequent decline in the ratio, notably dropping to 199.40 in the second quarter of 2024. This decline may raise concerns about the company's ability to cover its interest expenses with its operating earnings.
Overall, while Sturm Ruger & Company Inc has shown periods of strong interest coverage, the recent downward trend in the ratio indicates a potential strain on the company's ability to cover its interest expenses, requiring close monitoring in the future.