Roper Technologies Inc. Common Stock (ROP)

Financial leverage ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total assets	US$ in thousands	28,167,500	26,980,800	23,713,900	24,024,800	18,108,900
Total stockholders’ equity	US$ in thousands	17,444,800	16,037,800	11,563,800	10,479,800	9,491,900
Financial leverage ratio		1.61	1.68	2.05	2.29	1.91

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $28,167,500K ÷ $17,444,800K
= 1.61

The financial leverage ratio of Roper Technologies Inc has shown a decreasing trend from 2.29 in 2020 to 1.61 in 2023. This indicates that the company has been reducing its reliance on debt to finance its operations and investments over the past few years. A lower financial leverage ratio suggests that the company has a lower level of debt relative to its equity, which can indicate lower financial risk. However, it's important to note that a very low leverage ratio could also signify underutilization of debt and potential missed opportunities for leverage. Overall, the decreasing trend in the financial leverage ratio of Roper Technologies Inc reflects a more conservative approach to capital structure management.