Rambus Inc (RMBS)

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 1,258,230 1,184,330 1,127,120 962,630 1,012,590 969,056 1,110,910 1,060,880 1,232,650 1,202,670 1,152,980 1,235,780 1,251,410 1,309,020 1,316,650 1,325,390 1,338,990 1,301,630 1,312,160 1,321,420
Total stockholders’ equity US$ in thousands 1,038,100 955,566 945,558 761,729 779,297 749,884 838,158 793,126 862,396 847,843 830,588 909,406 912,706 965,828 972,730 971,597 975,373 961,283 973,226 999,887
Financial leverage ratio 1.21 1.24 1.19 1.26 1.30 1.29 1.33 1.34 1.43 1.42 1.39 1.36 1.37 1.36 1.35 1.36 1.37 1.35 1.35 1.32

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,258,230K ÷ $1,038,100K
= 1.21

The financial leverage ratio of Rambus Inc. has been fluctuating over the past eight quarters, ranging from a low of 1.19 in Q2 2023 to a high of 1.34 in Q1 2022. The trend indicates that the company's financial leverage has generally been decreasing over this period. A financial leverage ratio exceeding 1 suggests that the company relies more on debt financing rather than equity to fund its operations and investments.

The decreasing trend in the financial leverage ratio may indicate that Rambus Inc. has been reducing its reliance on debt to finance its operations, which could potentially reduce financial risk and improve the company's financial stability. However, it's important to consider the context of why the ratio is changing – whether due to increasing equity or decreasing debt levels.

Overall, monitoring the trends in Rambus Inc.'s financial leverage ratio over time can provide insights into the company's capital structure, risk profile, and financial health.


Peer comparison

Dec 31, 2023