Wolverine World Wide Inc (WWW)
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 | 2,062,800 | 2,231,300 | 2,357,300 | 2,416,700 | 2,492,700 | 3,170,600 | 2,949,000 | 2,746,000 | 2,586,400 | 2,681,400 | 2,303,600 | 2,267,300 | 2,137,400 | 2,501,100 | 2,589,400 | 2,753,700 | 2,480,000 | 2,468,500 | 2,442,900 | 2,351,300 |
| Total stockholders’ equity | US$ in thousands | 278,600 | 342,400 | 346,800 | 326,600 | 320,600 | 656,900 | 643,900 | 596,700 | 629,600 | 626,700 | 633,200 | 609,100 | 561,400 | 754,100 | 724,000 | 725,600 | 766,700 | 782,900 | 843,700 | 911,400 |
| Financial leverage ratio | 7.40 | 6.52 | 6.80 | 7.40 | 7.78 | 4.83 | 4.58 | 4.60 | 4.11 | 4.28 | 3.64 | 3.72 | 3.81 | 3.32 | 3.58 | 3.80 | 3.23 | 3.15 | 2.90 | 2.58 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,062,800K ÷ $278,600K
= 7.40
The financial leverage ratio of Wolverine World Wide Inc has shown fluctuations over the past few quarters, ranging from a low of 2.58 to a high of 7.78. This ratio measures the extent to which the company relies on debt to finance its operations and growth.
The trend indicates that the company's financial leverage has been increasing in recent quarters, reaching its peak at 7.78 in December 2022 before gradually declining to 6.52 in September 2023. A higher financial leverage ratio suggests that the company is more heavily reliant on debt to fund its activities, which can amplify returns but also increase financial risk.
It is essential for investors and stakeholders to closely monitor the financial leverage ratio of Wolverine World Wide Inc to assess the firm's ability to manage its debt obligations and sustain financial stability over time. Additionally, changes in this ratio can provide valuable insights into the company's financial health and risk profile.
Peer comparison
Dec 31, 2023