VeriSign Inc (VRSN)
Debt-to-capital ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,492,500 | 1,790,200 | 1,787,900 | 1,785,700 | 1,790,080 |
| Total stockholders’ equity | US$ in thousands | -1,957,900 | -1,581,000 | -1,562,200 | -1,260,500 | -1,390,200 |
| Debt-to-capital ratio | — | 8.56 | 7.92 | 3.40 | 4.48 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,492,500K ÷ ($1,492,500K + $-1,957,900K)
= —
The debt-to-capital ratio of VeriSign Inc has fluctuated over the past five years.
As of December 31, 2020, the debt-to-capital ratio was 4.48, indicating that the company had significant debt compared to its total capital.
By December 31, 2021, the ratio decreased to 3.40, suggesting a reduction in the company's debt relative to its total capital, which could be considered a positive trend.
However, there was a notable increase in the debt-to-capital ratio to 7.92 by December 31, 2022, followed by a further increase to 8.56 by December 31, 2023. These increases indicate that VeriSign Inc took on more debt in relation to its total capital during these years, which may raise concerns about the company's financial leverage.
Unfortunately, the debt-to-capital ratio for December 31, 2024 is not available. It would have been helpful to analyze the trend further, as a missing data point can make it challenging to assess the company's current leverage position.
In conclusion, the fluctuating trend in VeriSign Inc's debt-to-capital ratio over the years suggests varying levels of debt relative to its total capital. Further analysis would be necessary to fully understand the company's debt management and financial strategy.
Peer comparison
Dec 31, 2024