Snap-On Inc (SNA)
Debt-to-capital ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,184,600 | 1,184,400 | 1,184,200 | 1,184,000 | 1,183,800 | 1,183,600 | 1,183,400 | 1,183,200 | 1,182,900 | 1,182,700 | 1,182,500 | 1,182,300 | 1,182,100 | 1,181,800 | 1,436,700 | 948,200 | 946,900 | 947,500 | 947,900 | 946,700 |
| Total stockholders’ equity | US$ in thousands | 5,071,300 | 4,830,200 | 4,757,100 | 4,610,200 | 4,481,300 | 4,317,200 | 4,324,400 | 4,298,300 | 4,181,900 | 4,047,300 | 4,003,400 | 3,876,000 | 3,824,900 | 3,619,000 | 3,486,700 | 3,331,300 | 3,409,100 | 3,303,800 | 3,288,100 | 3,197,600 |
| Debt-to-capital ratio | 0.19 | 0.20 | 0.20 | 0.20 | 0.21 | 0.22 | 0.21 | 0.22 | 0.22 | 0.23 | 0.23 | 0.23 | 0.24 | 0.25 | 0.29 | 0.22 | 0.22 | 0.22 | 0.22 | 0.23 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,184,600K ÷ ($1,184,600K + $5,071,300K)
= 0.19
The debt-to-capital ratio of Snap-On Inc has shown a relatively stable trend over the past few years, ranging from 0.19 to 0.29. A debt-to-capital ratio of less than 0.5 is generally considered healthy, indicating that the company is not overly reliant on debt for its capital structure.
Snap-On Inc's debt-to-capital ratio has hovered around the 0.20 to 0.25 range in recent quarters, suggesting a moderate level of debt in relation to its total capital. The slight increase observed in the ratio from 0.19 in December 2023 to 0.29 in June 2020 could indicate a potential increase in debt relative to capital during that period. However, it is important to evaluate this ratio in conjunction with other financial metrics and compare it to industry benchmarks to gain a clearer understanding of the company's financial leverage and risk profile.
Peer comparison
Dec 31, 2023