SJW Group Common Stock (SJW)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 1,956,220 | 4,345,070 | 3,632,620 | 3,485,970 | 3,319,130 |
| Total stockholders’ equity | US$ in thousands | 1,366,970 | 1,233,400 | 1,110,870 | 1,034,520 | 917,160 |
| Financial leverage ratio | 1.43 | 3.52 | 3.27 | 3.37 | 3.62 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,956,220K ÷ $1,366,970K
= 1.43
The financial leverage ratio of SJW Group Common Stock has experienced fluctuations over the past five years. As of December 31, 2020, the ratio stood at 3.62, indicating that the company relied more on debt financing relative to equity. By December 31, 2024, the financial leverage ratio had decreased significantly to 1.43, suggesting a lower dependence on debt financing and a stronger equity position.
The trend observed from 2020 to 2024 indicates a general reduction in the financial leverage ratio, signaling a potential shift towards a more conservative capital structure. However, the ratio slightly increased in 2023 compared to the previous year, suggesting a temporary deviation from the overall decreasing trend.
Overall, the declining trend in the financial leverage ratio of SJW Group Common Stock indicates a potential improvement in the company's financial stability and risk profile as it seems to be relying less on debt to finance its operations.
Peer comparison
Dec 31, 2024