Western Digital Corporation (WDC)
Debt-to-equity ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 5,684,000 | 5,857,000 | 7,022,000 | 8,474,000 | 9,289,000 |
| Total stockholders’ equity | US$ in thousands | 10,818,000 | 10,964,000 | 12,221,000 | 10,721,000 | 9,551,000 |
| Debt-to-equity ratio | 0.53 | 0.53 | 0.57 | 0.79 | 0.97 |
June 30, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $5,684,000K ÷ $10,818,000K
= 0.53
The debt-to-equity ratio of Western Digital Corporation has shown a decreasing trend over the past five years, declining from 0.97 in 2020 to 0.53 in both 2023 and 2024. This indicates that the company has been strategically reducing its reliance on debt and improving its equity position relative to its debt obligations. A lower debt-to-equity ratio suggests a healthier balance sheet and lower financial risk for the company. The stable ratio in 2023 and 2024 indicates consistent management of the company's capital structure, likely through a combination of debt repayment, equity financing, or improved operational performance. Overall, the decreasing trend in the debt-to-equity ratio reflects positively on Western Digital's financial health and stronger solvency position in recent years.
Peer comparison
Jun 30, 2024