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 | ||
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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