Stanley Black & Decker Inc (SWK)
Debt-to-equity 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 | 6,101,000 | 6,099,200 | 6,099,900 | 6,101,100 | 5,352,900 | 5,350,500 | 5,351,800 | 5,355,500 | 4,353,600 | 4,246,900 | 4,246,200 | 4,245,700 | 4,245,400 | 4,658,500 | 4,658,700 | 4,662,600 | 3,176,400 | 3,908,800 | 3,909,100 | 3,909,400 |
| Total stockholders’ equity | US$ in thousands | 9,056,100 | 9,327,300 | 9,533,800 | 9,490,300 | 9,712,100 | 9,546,600 | 9,079,800 | 9,352,800 | 11,590,500 | 11,316,300 | 11,084,000 | 11,401,800 | 11,059,600 | 10,372,900 | 9,959,500 | 8,953,400 | 9,136,300 | 8,262,300 | 8,228,000 | 7,932,500 |
| Debt-to-equity ratio | 0.67 | 0.65 | 0.64 | 0.64 | 0.55 | 0.56 | 0.59 | 0.57 | 0.38 | 0.38 | 0.38 | 0.37 | 0.38 | 0.45 | 0.47 | 0.52 | 0.35 | 0.47 | 0.48 | 0.49 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $6,101,000K ÷ $9,056,100K
= 0.67
The debt-to-equity ratio of Stanley Black & Decker Inc has shown some fluctuations over the past few years. From December 31, 2019, to December 31, 2023, the ratio has ranged from 0.35 to 0.67.
The ratio indicates the proportion of debt relative to equity in the company's capital structure. A higher ratio suggests that the company is more leveraged and relies more on debt financing, while a lower ratio indicates a higher proportion of equity financing.
During this period, there appears to have been a gradual increase in the debt-to-equity ratio from 0.35 on March 31, 2020, to 0.67 on December 31, 2023. This escalation could potentially imply an increased reliance on debt to finance the company's operations and growth initiatives.
It is important to monitor the trend in the debt-to-equity ratio over time to assess the company's financial risk and stability. Investors and creditors may pay close attention to this ratio to evaluate the company's ability to meet its financial obligations.
Peer comparison
Dec 31, 2023