The Wendy’s Co (WEN)
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 | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 259,352 | 309,779 | 465,720 | 436,405 | 549,596 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $259,352K)
= 0.00
The debt-to-capital ratio of The Wendy's Co has consistently been reported as 0.00 from December 31, 2020, to December 31, 2024. This indicates that the company has been entirely financed by equity rather than debt during this period. A debt-to-capital ratio of 0.00 signifies a low financial risk for the company, as it implies a lack of reliance on borrowed funds for its operations and growth. The consistent presence of a 0.00 ratio suggests a strong financial position, with the company effectively managing its capital structure without incurring significant debt obligations. It may imply a strategy that prioritizes equity financing or a conservative approach to leverage, potentially reducing interest expenses and enhancing financial stability. However, it is essential to consider other financial metrics and contextual factors to gain a holistic understanding of The Wendy's Co's financial health and performance.
Peer comparison
Dec 31, 2024