Shake Shack Inc (SHAK)
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 | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 443,417 | 412,204 | 409,537 | 407,321 | 298,817 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $443,417K
= 0.00
The debt-to-equity ratio of Shake Shack Inc has been consistently reported as 0.00 for the past five years from 2019 to 2023. This indicates that the company has not utilized any debt to finance its operations during this period and has relied solely on equity funding. A debt-to-equity ratio of 0.00 signifies a conservative capital structure with no financial leverage, suggesting that the company has minimal financial risk associated with debt repayment obligations. Shake Shack Inc's consistent low debt-to-equity ratio may imply that it prefers to fund its growth and operations through internally generated funds or equity financing, which could be viewed positively by investors and creditors as it reduces the company's overall financial risk.
Peer comparison
Dec 31, 2023