TechTarget Inc (TTGT)

Financial leverage 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
Total assets	US$ in thousands	699,888	687,600	730,617	746,802	764,717	779,435	799,711	799,164	789,000	509,354	482,218	464,372	456,568	231,207	223,260	211,490	221,608	214,017	208,489	202,612
Total stockholders’ equity	US$ in thousands	222,927	209,008	202,297	210,022	217,474	229,838	238,402	241,196	222,757	208,521	193,832	182,138	202,506	162,256	153,546	145,375	152,951	147,771	141,380	135,125
Financial leverage ratio		3.14	3.29	3.61	3.56	3.52	3.39	3.35	3.31	3.54	2.44	2.49	2.55	2.25	1.42	1.45	1.45	1.45	1.45	1.47	1.50

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $699,888K ÷ $222,927K
= 3.14

Techtarget Inc.'s financial leverage ratio has shown a fluctuating trend over the past eight quarters. The ratio has ranged from 3.14 to 3.61 during this period, with the highest value recorded in Q2 2023 and the lowest in Q4 2023. Overall, the company's financial leverage has been gradually increasing since Q4 2022 when it was at 3.52.

A financial leverage ratio above 3 indicates that the company is relying more on debt to finance its operations compared to its equity. The upward trend in the ratio suggests that Techtarget Inc. has been taking on more debt relative to its equity over the past quarters, which may indicate a higher level of financial risk. It is essential for investors and stakeholders to monitor this trend closely to assess the company's ability to meet its debt obligations and sustain its financial health in the long run.