Vistra Energy Corp (VST)
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 | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 5,307,000 | 4,902,000 | 8,291,000 | 8,371,000 | 7,959,000 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $5,307,000K)
= 0.00
The debt-to-capital ratio of Vistra Corp has shown an increasing trend over the past five years, rising from 0.58 in 2019 to 0.73 in 2023. This indicates that the company's reliance on debt to finance its operations and investments has been growing relative to its total capital structure. The ratio surpassed 0.50 in 2021 and has since continued to climb, reaching its highest level in 2023. This suggests that Vistra Corp is using a larger proportion of debt in comparison to equity to fund its activities, which may indicate a higher financial risk due to increased leverage. It would be important to further analyze the reasons behind this trend and assess the company's ability to manage its debt obligations in the long term.
Peer comparison
Dec 31, 2023