Under Armour Inc C (UA)
Debt-to-equity ratio
| Mar 31, 2024 | Dec 31, 2023 | Mar 31, 2023 | Dec 31, 2022 | Mar 31, 2022 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 2,153,290 | 2,153,290 | 1,998,400 | 1,998,400 | 2,088,990 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
March 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $2,153,290K
= 0.00
The debt-to-equity ratio of Under Armour Inc C has shown fluctuations over the past five years. As of March 31, 2024, the ratio stands at 0.28, indicating that the company has $0.28 in debt for every $1 of equity. This represents a decrease from the previous year's ratio of 0.34, suggesting that the company is relying less on debt to finance its operations. Comparing this year's ratio to historical data, we observe that it is consistent with the ratio reported in December 2019, suggesting a return to previous levels of leverage.
It is worth noting that the ratio spiked to 0.60 as of December 31, 2020, indicating a significant increase in debt relative to equity at that time. However, the company has managed to reduce its leverage significantly since then. A lower debt-to-equity ratio generally signifies a lower financial risk and a stronger financial position for a company. It appears that Under Armour Inc C has made efforts to improve its capital structure and manage its debt levels effectively in recent years.
Peer comparison
Mar 31, 2024