Vulcan Materials Company (VMC)

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	3,877,300	3,874,300	3,873,200	3,876,900	3,875,200	3,874,200	3,873,700	3,874,500	3,874,800	3,874,100	2,769,900	2,772,900	2,772,200	2,777,070	2,785,650	2,785,570	2,784,320	2,783,070	2,781,830	2,780,590
Total stockholders’ equity	US$ in thousands	7,483,400	7,440,600	7,202,600	6,986,900	6,928,600	6,855,700	6,721,100	6,575,300	6,545,000	6,426,100	6,293,100	6,136,200	6,027,300	5,928,350	5,764,150	5,590,330	5,621,860	5,542,240	5,371,450	5,217,210
Debt-to-equity ratio		0.52	0.52	0.54	0.55	0.56	0.57	0.58	0.59	0.59	0.60	0.44	0.45	0.46	0.47	0.48	0.50	0.50	0.50	0.52	0.53

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $3,877,300K ÷ $7,483,400K
= 0.52

The debt-to-equity ratio of Vulcan Materials Co has shown a decreasing trend over the past eight quarters, indicating improved financial health in terms of leverage. The ratio has declined from 0.61 in Q1 2022 to 0.52 in both Q3 2023 and Q4 2023. This suggests that the company is relying less on debt financing and increasingly funding its operations with equity. A lower debt-to-equity ratio is generally seen as favorable as it implies lower financial risk and better solvency. However, it is important to assess the overall capital structure and financial strategy of the company to fully understand the implications of this trend.