Shenandoah Telecommunications Co (SHEN)
Debt-to-capital ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 918,583 | 652,670 | 638,007 | 642,275 | 582,394 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $918,583K)
= 0.00
The debt-to-capital ratio for Shenandoah Telecommunications Co has remained consistently low and stable over the past five years, with a ratio of 0.00 as of December 31 for each year from 2020 to 2024. This indicates that the company has not relied heavily on debt financing to fund its operations or investments relative to its capital structure. A debt-to-capital ratio of 0.00 suggests that the company's capital structure is primarily equity-based, which can be considered a positive indicator of financial stability and lower financial risk. However, it is important to note that a low debt-to-capital ratio also means that the company may be missing out on potential tax benefits associated with debt financing. Overall, Shenandoah Telecommunications Co's consistently low debt-to-capital ratio reflects a conservative approach to managing its financial leverage and indicates a strong financial position.
Peer comparison
Dec 31, 2024