Universal Health Services Inc (UHS)
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 | 4,785,780 | 4,796,070 | 4,605,080 | 4,707,320 | 4,726,530 | 4,638,360 | 4,599,200 | 4,250,690 | 4,141,880 | 3,709,320 | 3,486,220 | 3,505,820 | 3,524,250 | 3,514,670 | 3,449,940 | 3,735,800 | 3,896,580 | 3,870,290 | 4,057,120 | 3,821,940 |
| Total stockholders’ equity | US$ in thousands | 6,149,000 | 6,064,920 | 6,087,180 | 6,012,110 | 5,920,580 | 5,855,350 | 5,814,660 | 5,867,870 | 6,089,660 | 6,274,020 | 6,480,100 | 6,513,860 | 6,317,150 | 5,962,790 | 5,688,650 | 5,413,210 | 5,504,100 | 5,389,220 | 5,393,090 | 5,482,420 |
| Debt-to-equity ratio | 0.78 | 0.79 | 0.76 | 0.78 | 0.80 | 0.79 | 0.79 | 0.72 | 0.68 | 0.59 | 0.54 | 0.54 | 0.56 | 0.59 | 0.61 | 0.69 | 0.71 | 0.72 | 0.75 | 0.70 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $4,785,780K ÷ $6,149,000K
= 0.78
The debt-to-equity ratio of Universal Health Services, Inc. has remained relatively stable over the past eight quarters, ranging from 0.73 to 0.81. This ratio indicates that the company mainly relies on debt financing to support its operations, with debt levels consistently exceeding equity.
A ratio of around 0.80 suggests that for every $1 of equity, the company has approximately $0.80 in debt. This could indicate moderate financial risk, as a higher ratio implies higher financial leverage and potential vulnerability to economic downturns or rising interest rates.
However, it is essential to consider industry norms and compare the company's ratio to its peers to gain a better understanding of its leverage position. Additionally, monitoring changes in the debt-to-equity ratio over time can provide insights into the company's capital structure management and financial health.
Peer comparison
Dec 31, 2023