Snap-On Inc (SNA)
Debt-to-equity ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,185,500 | 1,184,600 | 1,183,800 | 1,182,900 | 1,182,100 |
| Total stockholders’ equity | US$ in thousands | 5,394,100 | 5,071,300 | 4,481,300 | 4,181,900 | 3,824,900 |
| Debt-to-equity ratio | 0.22 | 0.23 | 0.26 | 0.28 | 0.31 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,185,500K ÷ $5,394,100K
= 0.22
Snap-On Inc's debt-to-equity ratio has been showing a declining trend over the years, decreasing from 0.31 in 2020 to 0.22 in 2024. This indicates that the company has been relying less on debt to finance its operations and growth relative to its equity. A decreasing debt-to-equity ratio is generally seen as a positive sign, as it suggests a stronger financial position and lower financial risk. Snap-On Inc's decreasing debt-to-equity ratio may indicate effective management of debt levels and a healthier balance sheet. Overall, the declining trend in the debt-to-equity ratio reflects positively on Snap-On Inc's financial stability and ability to manage its debt obligations.
Peer comparison
Dec 31, 2024