Williams Companies Inc (WMB)
Debt-to-equity ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 25,830,000 | 25,713,000 | 22,554,000 | 27,768,000 | 27,043,000 |
| Total stockholders’ equity | US$ in thousands | 12,436,000 | 12,402,000 | 11,485,000 | 11,423,000 | 11,769,000 |
| Debt-to-equity ratio | 2.08 | 2.07 | 1.96 | 2.43 | 2.30 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $25,830,000K ÷ $12,436,000K
= 2.08
The debt-to-equity ratio of Williams Companies Inc has shown a fluctuating trend over the past five years. As of December 31, 2020, the ratio stood at 2.30, indicating that the company had $2.30 in debt for every $1 of equity. This ratio increased to 2.43 by the end of 2021, suggesting a higher reliance on debt financing compared to equity.
In 2022, the debt-to-equity ratio decreased to 1.96, signaling a reduction in the company's debt relative to equity. However, this trend reversed in 2023, with the ratio climbing to 2.07, indicating a slight increase in leverage.
By December 31, 2024, the debt-to-equity ratio remained relatively stable at 2.08. Overall, the company's debt-to-equity ratio has displayed some volatility over the years, reflecting fluctuations in its capital structure and financial leverage. Investors and stakeholders may want to closely monitor this ratio to assess Williams Companies Inc's long-term financial health and risk profile.
Peer comparison
Dec 31, 2024