Verizon Communications Inc (VZ)
Financial leverage 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 380,255,000 | 384,830,000 | 379,955,000 | 377,716,000 | 379,680,000 | 375,090,000 | 370,147,000 | 365,716,000 | 366,596,000 | 353,457,000 | 349,190,000 | 345,573,000 | 316,481,000 | 296,994,000 | 293,259,000 | 294,500,000 | 291,727,000 | 284,875,000 | 283,108,000 | 283,947,000 |
| Total stockholders’ equity | US$ in thousands | 91,774,000 | 97,113,000 | 94,649,000 | 92,486,000 | 90,351,000 | 86,726,000 | 85,362,000 | 83,265,000 | 81,252,000 | 76,554,000 | 73,276,000 | 70,950,000 | 67,507,000 | 64,773,000 | 62,460,000 | 60,061,000 | 61,173,000 | 58,724,000 | 56,417,000 | 55,731,000 |
| Financial leverage ratio | 4.14 | 3.96 | 4.01 | 4.08 | 4.20 | 4.33 | 4.34 | 4.39 | 4.51 | 4.62 | 4.77 | 4.87 | 4.69 | 4.59 | 4.70 | 4.90 | 4.77 | 4.85 | 5.02 | 5.09 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $380,255,000K ÷ $91,774,000K
= 4.14
Verizon Communications Inc's financial leverage ratio has exhibited fluctuations over the past eight quarters. The ratio has ranged between 3.94 and 4.37 during this period. In Q4 2023, the financial leverage ratio stood at 4.11, indicating that the company's reliance on debt to finance its operations has slightly increased compared to the previous quarter. However, it is important to note that the ratio has been consistently above 4 in recent quarters, suggesting a relatively high level of leverage. This may pose risks in terms of financial stability and flexibility for Verizon, as higher leverage amplifies the impact of changes in interest rates and economic conditions on the company's financial performance. It would be prudent for stakeholders to closely monitor Verizon's debt management strategies and financial health to assess the potential implications of its leverage ratio on its overall business sustainability.
Peer comparison
Dec 31, 2023
See also:
Verizon Communications Inc Financial Leverage (Quarterly Data)