Roper Technologies Inc. Common Stock (ROP)

Debt-to-equity ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Long-term debt	US$ in thousands	5,830,600	5,962,500	7,122,600	9,061,400	4,673,100
Total stockholders’ equity	US$ in thousands	17,444,800	16,037,800	11,563,800	10,479,800	9,491,900
Debt-to-equity ratio		0.33	0.37	0.62	0.86	0.49

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $5,830,600K ÷ $17,444,800K
= 0.33

The debt-to-equity ratio of Roper Technologies Inc has exhibited fluctuating trends over the past five years. As of December 31, 2023, the ratio stands at 0.36, indicating a decrease compared to the prior year. This suggests that the company relies less on debt financing and has a stronger equity position relative to its debt obligations.

In 2022, the ratio was 0.42, slightly higher than in 2023 but still demonstrating a favorable balance between debt and equity. However, in 2021 and 2020, the ratio was higher at 0.69 and 0.91 respectively, indicating a higher proportion of debt relative to equity in the company's capital structure.

The significant increase in the debt-to-equity ratio in 2020 may raise concerns about the company's leverage and financial risk. It is positive to observe a decline in the ratio in the subsequent years, as it indicates that Roper Technologies Inc has been actively managing its debt levels.

The ratio in 2019 was 0.56, reflecting a balance between debt and equity that was more favorable than in 2021 and 2020 but higher than the most recent years. Overall, the decreasing trend in the debt-to-equity ratio over the past two years suggests an improved financial position in terms of capital structure and risk management for Roper Technologies Inc.