Yelp Inc (YELP)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 983,567 | 1,014,720 | 1,015,920 | 1,050,530 | 1,154,950 |
| Total stockholders’ equity | US$ in thousands | 743,969 | 749,534 | 710,324 | 751,318 | 854,534 |
| Financial leverage ratio | 1.32 | 1.35 | 1.43 | 1.40 | 1.35 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $983,567K ÷ $743,969K
= 1.32
The financial leverage ratio of Yelp Inc has shown a gradual increase over the five-year period from 2020 to 2024, starting at 1.35 in 2020 and reaching 1.32 in 2024. This indicates that the company's reliance on debt to finance its operations has decreased slightly over the years. A financial leverage ratio of 1.32 in 2024 suggests that Yelp Inc's capital structure is composed of 1.32 units of debt for every dollar of equity, reflecting a moderate level of leverage. It is important for investors and creditors to monitor changes in the financial leverage ratio as it can impact the company's risk profile and financial stability.
Peer comparison
Dec 31, 2024