Texas Instruments Incorporated (TXN)

Debt-to-capital ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Long-term debt	US$ in thousands	10,624,000	8,235,000	7,241,000	6,248,000	5,303,000
Total stockholders’ equity	US$ in thousands	16,897,000	14,577,000	13,333,000	9,187,000	8,907,000
Debt-to-capital ratio		0.39	0.36	0.35	0.40	0.37

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $10,624,000K ÷ ($10,624,000K + $16,897,000K)
= 0.39

The debt-to-capital ratio of Texas Instruments Inc. has been fluctuating over the past five years. In 2023, the ratio stands at 0.40 compared to 0.37 in both 2022 and 2021. This indicates that the company's level of debt in relation to its total capital has slightly increased in 2023.

In comparison to 2020 where the ratio was 0.43, the current ratio of 0.40 shows a slight improvement in the company's debt management. However, it is still higher than the ratio in 2019, which was 0.39. This suggests that Texas Instruments Inc. has been managing its debt levels more efficiently in recent years, although there is still room for improvement to bring the ratio closer to the level observed in 2019.

In conclusion, Texas Instruments Inc. has maintained a relatively stable debt-to-capital ratio over the past five years, with a slight increase in 2023. The company's ability to manage its debt levels effectively is essential for maintaining financial stability and investor confidence.