Trex Company Inc (TREX)
Debt-to-equity ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 850,142 | 887,904 | 894,900 | 804,146 | 716,671 | 691,651 | 623,525 | 560,177 | 518,349 | 556,538 | 641,475 | 721,065 | 725,034 | 720,809 | 648,776 | 590,143 | 588,531 | 544,064 | 499,661 | 451,723 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $850,142K
= 0.00
The debt-to-equity ratio of Trex Company Inc has consistently been 0.00 for all the reported periods from March 31, 2020, to December 31, 2024. This indicates that the company has not utilized any debt to finance its operations and has relied solely on equity financing during this time frame. A debt-to-equity ratio of 0.00 generally suggests that the company has no financial leverage, meaning it is not using borrowed funds to support its business activities.
While a low debt-to-equity ratio can imply financial stability and less risk, it may also indicate missed opportunities for leveraging debt to potentially enhance returns. It is important to note that the interpretation of a zero debt-to-equity ratio should be viewed contextually, considering factors such as the industry norms, growth plans, and the company's specific financial strategy.
Peer comparison
Dec 31, 2024