Sealed Air Corporation (SEE)
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 | 20,100 | 23,600 | 25,700 | 24,900 | 30,900 |
| Total stockholders’ equity | US$ in thousands | 549,500 | 344,100 | 248,700 | 172,500 | -196,200 |
| Debt-to-equity ratio | 0.04 | 0.07 | 0.10 | 0.14 | — |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $20,100K ÷ $549,500K
= 0.04
The debt-to-equity ratio of Sealed Air Corp has been on a declining trend from 21.80 in 2020 to 8.54 in 2023. This ratio indicates that the company has been gradually reducing its reliance on debt to finance its operations and growth, while increasing the proportion of equity in its capital structure. This shift suggests improved financial stability and potential lower financial risk for the company as a lower debt-to-equity ratio typically signifies a lower risk of financial distress. The declining trend in the debt-to-equity ratio reflects positively on Sealed Air Corp's ability to manage its debt levels and leverage, which could potentially enhance its creditworthiness and overall financial health.
Peer comparison
Dec 31, 2023