Sitime Corporation (SITM)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 884,959 | 951,683 | 750,616 | 678,209 | 136,011 |
| Total stockholders’ equity | US$ in thousands | 699,719 | 708,052 | 708,480 | 632,497 | 109,880 |
| Financial leverage ratio | 1.26 | 1.34 | 1.06 | 1.07 | 1.24 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $884,959K ÷ $699,719K
= 1.26
The financial leverage ratio of Sitime Corporation has fluctuated over the past five years. It decreased from 1.24 in December 2020 to 1.07 in December 2021, indicating a decrease in the company's reliance on debt to finance its operations. Subsequently, the ratio remained relatively stable at 1.06 in December 2022. However, there was a notable increase to 1.34 in December 2023, suggesting a higher level of debt used in the company's capital structure during that period. The ratio then decreased to 1.26 by December 2024, which may indicate a potential adjustment in the company's debt levels. Overall, the trend in Sitime Corporation's financial leverage ratio demonstrates variability in the extent to which the company utilizes debt to support its financial activities.
Peer comparison
Dec 31, 2024