Analysis of Solvency Ratios
Quarterly Data
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
DexCom Inc., solvency ratios (quarterly data)
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
- Debt to Equity
- The debt to equity ratio exhibited an overall fluctuating trend during the analyzed periods. Initially, the ratio decreased steadily from 0.79 in March 2018 to a low of 0.6 by September 2018, then sharply increased to a peak of 1.53 by March 2019. From this peak, the ratio generally declined to around 0.76 by December 2021, after which it showed volatility, rising significantly to 1.53 in June 2023 before falling back to 1.13 in September 2023.
- Debt to Equity (Including Operating Lease Liability)
- This ratio followed a similar pattern as the standard debt to equity ratio, with slightly higher values reflecting the inclusion of operating lease liabilities. It started at 0.79 in March 2018, peaked around 1.59 by March 2019, decreased steadily to 0.81 in December 2021, and then showed increased volatility with a sharp rise to 1.58 in June 2023 before easing to 1.17 in September 2023.
- Debt to Capital
- The debt to capital ratio demonstrated a moderate decline from 0.44 in March 2018 to 0.38 by September 2018. It then experienced a spike to 0.6 by March 2019. After this peak, the ratio gradually decreased to around 0.43 by December 2021, followed by a modest increase with fluctuations, reaching 0.6 again in June 2023 before settling at 0.53 in September 2023.
- Debt to Capital (Including Operating Lease Liability)
- Including operating lease liabilities, this ratio mirrored the debt to capital movements but at slightly higher levels. It rose from 0.44 in March 2018 to 0.61 by March 2019, decreased gradually to 0.45 by December 2021, then fluctuated upwards again to 0.61 in June 2023 and retreated to 0.54 in September 2023.
- Debt to Assets
- The debt to assets ratio showed a decline from 0.37 in March 2018 to 0.3 in September 2018, followed by an increase to 0.53 by March 2019. Subsequently, there was a general downward trend to about 0.35 by December 2021. After this point, the ratio oscillated and increased notably to 0.47 in June 2023 before reducing to 0.39 in the latest quarter.
- Debt to Assets (Including Operating Lease Liability)
- This ratio closely paralleled the debt to assets measure but was consistently higher due to operating lease liabilities. Starting at 0.37 in March 2018, it peaked at 0.54 in March 2019, decreased to about 0.37 by December 2021, then showed an upward trend to 0.49 in June 2023 before settling near 0.4 in September 2023.
- Financial Leverage
- The financial leverage ratio indicated rising leverage initially, increasing from 2.13 in March 2018 to a peak of 3.0 by June 2019. After this peak, the ratio declined steadily to approximately 2.16 by December 2021. Thereafter, a pronounced increase occurred with the ratio reaching 3.25 in June 2023, followed by a decrease to 2.91 in September 2023.
- Interest Coverage
- Interest coverage ratios were absent in the early periods but showed marked improvement over time. Negative values in late 2018 and early 2019 indicated challenges in covering interest expenses. From March 2020 onwards, a positive and progressively increasing trend was observed, starting from 2.73 and rising sharply to 128.11 by September 2023. This significant improvement evidences a strong increase in the company’s ability to meet interest obligations over the analyzed period.
Debt Ratios
Coverage Ratios
Debt to Equity
DexCom Inc., debt to equity calculation (quarterly data)
| 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 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Current portion of long-term senior convertible notes | 124,200) | 773,800) | 773,200) | 772,600) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | |||||||
| Long-term senior convertible notes | 2,432,400) | 2,430,600) | 1,198,500) | 1,197,700) | 1,968,800) | 1,967,300) | 1,965,900) | 1,702,700) | 1,703,500) | 1,710,700) | 1,688,800) | 1,667,200) | 1,645,800) | 1,658,800) | 1,072,400) | 1,059,700) | 1,047,100) | 1,034,700) | 1,022,400) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Total debt | 2,556,600) | 3,204,400) | 1,971,700) | 1,970,300) | 1,968,800) | 1,967,300) | 1,965,900) | 1,702,700) | 1,703,500) | 1,710,700) | 1,688,800) | 1,667,200) | 1,645,800) | 1,658,800) | 1,072,400) | 1,059,700) | 1,047,100) | 1,034,700) | 1,022,400) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Stockholders’ equity | 2,267,900) | 2,100,400) | 2,233,000) | 2,131,800) | 1,824,500) | 2,255,900) | 2,189,300) | 2,251,500) | 2,136,100) | 1,997,600) | 1,903,200) | 1,826,500) | 1,499,300) | 1,353,900) | 934,500) | 882,600) | 764,300) | 688,300) | 668,600) | 663,300) | 562,200) | 482,100) | 421,700) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||||
| Debt to equity1 | 1.13 | 1.53 | 0.88 | 0.92 | 1.08 | 0.87 | 0.90 | 0.76 | 0.80 | 0.86 | 0.89 | 0.91 | 1.10 | 1.23 | 1.15 | 1.20 | 1.37 | 1.50 | 1.53 | 1.52 | 0.60 | 0.69 | 0.79 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Debt to Equity, Competitors2 | ||||||||||||||||||||||||||||||
| Abbott Laboratories | 0.41 | 0.45 | 0.46 | 0.46 | 0.46 | 0.46 | 0.48 | 0.50 | 0.53 | 0.55 | 0.55 | 0.57 | 0.59 | 0.64 | 0.60 | — | — | — | — | — | — | — | — | |||||||
| CVS Health Corp. | 0.83 | 0.88 | 0.82 | 0.74 | 0.74 | 0.73 | 0.76 | 0.75 | 0.79 | 0.81 | 0.87 | 0.93 | 0.97 | 1.05 | 1.10 | — | — | — | — | — | — | — | — | |||||||
| Elevance Health Inc. | 0.65 | 0.66 | 0.68 | 0.66 | 0.66 | 0.66 | 0.65 | 0.64 | 0.64 | 0.66 | 0.69 | 0.60 | 0.61 | 0.62 | 0.68 | — | — | — | — | — | — | — | — | |||||||
| Intuitive Surgical Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | — | — | — | — | — | — | — | — | |||||||
| Medtronic PLC | 0.55 | 0.51 | 0.44 | 0.46 | 0.48 | 0.49 | 0.50 | 0.51 | 0.60 | 0.60 | 0.57 | 0.49 | 0.49 | 0.51 | 0.52 | — | — | — | — | — | — | — | — | |||||||
| UnitedHealth Group Inc. | 0.75 | 0.80 | 0.87 | 0.74 | 0.65 | 0.71 | 0.65 | 0.64 | 0.67 | 0.70 | 0.70 | 0.66 | 0.67 | 0.72 | 0.91 | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Q3 2023 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity
= 2,556,600 ÷ 2,267,900 = 1.13
2 Click competitor name to see calculations.
- Total Debt
- The total debt exhibits a general upward trend over the observed period, starting from approximately $331 million in March 2018 and increasing to around $2.56 billion by September 2023. There is a notable sharp increase between December 2019 and June 2020, where the debt rises from approximately $1.07 billion to about $1.66 billion. Another significant surge occurs in the most recent quarters, particularly from June 2023 at around $2.56 billion. Despite fluctuations, the overall pattern indicates a substantial increase in total debt over the years.
- Stockholders’ Equity
- Stockholders' equity shows consistent growth over the majority of the periods, moving from approximately $422 million in March 2018 to a peak of about $2.25 billion in June 2022. After this peak, equity values decrease somewhat, dropping to roughly $2.10 billion in September 2023, although the levels remain significantly higher than in earlier years. The data reflects a positive trend in equity, signifying increasing shareholder value, albeit with some volatility in the most recent periods.
- Debt to Equity Ratio
- The debt to equity ratio demonstrates considerable variability throughout the timeframe. Initially, it decreases from 0.79 in March 2018 to a low of 0.6 in September 2018, followed by a substantial increase to 1.52 in December 2018. Thereafter, the ratio generally fluctuates between approximately 0.8 and 1.53. In recent quarters, there is a noticeable spike to 1.53 in June 2023, indicating a relatively higher reliance on debt compared to equity. The movements suggest periods of both deleveraging and increased leverage, reflecting potential shifts in capital structure strategy or market conditions impacting financial leverage.
Debt to Equity (including Operating Lease Liability)
DexCom Inc., debt to equity (including operating lease liability) calculation (quarterly data)
| Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Current portion of long-term senior convertible notes | 124,200) | 773,800) | 773,200) | 772,600) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | |||||||
| Long-term senior convertible notes | 2,432,400) | 2,430,600) | 1,198,500) | 1,197,700) | 1,968,800) | 1,967,300) | 1,965,900) | 1,702,700) | 1,703,500) | 1,710,700) | 1,688,800) | 1,667,200) | 1,645,800) | 1,658,800) | 1,072,400) | 1,059,700) | 1,047,100) | 1,034,700) | 1,022,400) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Total debt | 2,556,600) | 3,204,400) | 1,971,700) | 1,970,300) | 1,968,800) | 1,967,300) | 1,965,900) | 1,702,700) | 1,703,500) | 1,710,700) | 1,688,800) | 1,667,200) | 1,645,800) | 1,658,800) | 1,072,400) | 1,059,700) | 1,047,100) | 1,034,700) | 1,022,400) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Short-term operating lease liabilities | 21,000) | 21,800) | 22,200) | 20,500) | 20,900) | 21,200) | 20,900) | 20,500) | 19,300) | 18,800) | 18,200) | 16,500) | 15,800) | 15,100) | 14,500) | 13,600) | 14,800) | 14,100) | 12,300) | —) | —) | —) | —) | |||||||
| Long-term operating lease liabilities | 83,400) | 86,900) | 89,700) | 94,600) | 82,100) | 87,700) | 93,300) | 98,600) | 102,900) | 107,100) | 111,300) | 101,800) | 103,200) | 73,700) | 77,300) | 72,400) | 34,300) | 37,200) | 29,500) | —) | —) | —) | —) | |||||||
| Total debt (including operating lease liability) | 2,661,000) | 3,313,100) | 2,083,600) | 2,085,400) | 2,071,800) | 2,076,200) | 2,080,100) | 1,821,800) | 1,825,700) | 1,836,600) | 1,818,300) | 1,785,500) | 1,764,800) | 1,747,600) | 1,164,200) | 1,145,700) | 1,096,200) | 1,086,000) | 1,064,200) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Stockholders’ equity | 2,267,900) | 2,100,400) | 2,233,000) | 2,131,800) | 1,824,500) | 2,255,900) | 2,189,300) | 2,251,500) | 2,136,100) | 1,997,600) | 1,903,200) | 1,826,500) | 1,499,300) | 1,353,900) | 934,500) | 882,600) | 764,300) | 688,300) | 668,600) | 663,300) | 562,200) | 482,100) | 421,700) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||||
| Debt to equity (including operating lease liability)1 | 1.17 | 1.58 | 0.93 | 0.98 | 1.14 | 0.92 | 0.95 | 0.81 | 0.85 | 0.92 | 0.96 | 0.98 | 1.18 | 1.29 | 1.25 | 1.30 | 1.43 | 1.58 | 1.59 | 1.52 | 0.60 | 0.69 | 0.79 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | ||||||||||||||||||||||||||||||
| CVS Health Corp. | 1.08 | 1.13 | 1.07 | 1.00 | 1.01 | 0.99 | 1.03 | 1.01 | 1.06 | 1.09 | 1.16 | 1.23 | 1.27 | 1.35 | 1.42 | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Q3 2023 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Stockholders’ equity
= 2,661,000 ÷ 2,267,900 = 1.17
2 Click competitor name to see calculations.
The financial data shows the evolution of total debt, stockholders' equity, and the debt to equity ratio over multiple quarters from March 2018 through September 2023. The analysis identifies trends and significant changes across this period.
- Total Debt (including operating lease liability)
-
From the first quarter of 2018 to the last quarter of 2019, total debt displayed a gradual increase from approximately $331 million to around $1.15 billion, with a notable jump occurring in the fourth quarter of 2018 where debt nearly tripled compared to previous quarters.
Between 2020 and the first half of 2021, debt steadily rose from roughly $1.16 billion to $1.83 billion, marking a continued upward trend. From mid-2021 through March 2023, total debt fluctuated, peaking at approximately $2.08 billion in multiple quarters, before dramatically increasing to $3.31 billion in June 2023 and then decreasing to about $2.66 billion by the third quarter of 2023.
- Stockholders’ Equity
-
This metric demonstrated consistent growth from approximately $422 million in early 2018 to a peak near $2.25 billion in the fourth quarter of 2021. Thereafter, equity values exhibited some volatility, declining to about $1.82 billion by the last quarter of 2022, before partially recovering to around $2.27 billion by September 2023.
- Debt to Equity Ratio (including operating lease liability)
-
The ratio started below 1.0 in 2018, initially decreasing from 0.79 to 0.6, indicating a relatively lower proportion of debt compared to equity. However, there was a sharp increase to 1.52 in December 2018, reflecting the substantial rise in debt during that period.
From 2019 through 2021, the ratio generally showed a downward trend, falling from around 1.59 in early 2019 to a low of 0.81 in late 2021, suggesting an improving equity position relative to debt or a reduction in leverage risk.
In 2022, the ratio rose again, crossing above 1.0 in the final quarter, indicating increased leverage. The trend continued with fluctuations into 2023, including a surge to 1.58 in September 2023, associated with the sharp increase in debt earlier in the year, before decreasing to 1.17 later in the same quarter. This volatility points to notable changes in capital structure and potentially increased financial risk during this time frame.
Overall, the company experienced significant growth in both debt and equity over the five-year period, with phases of rapid debt accumulation particularly in late 2018 and mid-2023. The debt to equity ratio reflects these shifts with periods of increased leverage risk interspersed with phases of improved equity strength. The data suggests strategic financing decisions impacting the company's capital structure, with recent quarters exhibiting heightened volatility.
Debt to Capital
DexCom Inc., debt to capital calculation (quarterly data)
| 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 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Current portion of long-term senior convertible notes | 124,200) | 773,800) | 773,200) | 772,600) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | |||||||
| Long-term senior convertible notes | 2,432,400) | 2,430,600) | 1,198,500) | 1,197,700) | 1,968,800) | 1,967,300) | 1,965,900) | 1,702,700) | 1,703,500) | 1,710,700) | 1,688,800) | 1,667,200) | 1,645,800) | 1,658,800) | 1,072,400) | 1,059,700) | 1,047,100) | 1,034,700) | 1,022,400) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Total debt | 2,556,600) | 3,204,400) | 1,971,700) | 1,970,300) | 1,968,800) | 1,967,300) | 1,965,900) | 1,702,700) | 1,703,500) | 1,710,700) | 1,688,800) | 1,667,200) | 1,645,800) | 1,658,800) | 1,072,400) | 1,059,700) | 1,047,100) | 1,034,700) | 1,022,400) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Stockholders’ equity | 2,267,900) | 2,100,400) | 2,233,000) | 2,131,800) | 1,824,500) | 2,255,900) | 2,189,300) | 2,251,500) | 2,136,100) | 1,997,600) | 1,903,200) | 1,826,500) | 1,499,300) | 1,353,900) | 934,500) | 882,600) | 764,300) | 688,300) | 668,600) | 663,300) | 562,200) | 482,100) | 421,700) | |||||||
| Total capital | 4,824,500) | 5,304,800) | 4,204,700) | 4,102,100) | 3,793,300) | 4,223,200) | 4,155,200) | 3,954,200) | 3,839,600) | 3,708,300) | 3,592,000) | 3,493,700) | 3,145,100) | 3,012,700) | 2,006,900) | 1,942,300) | 1,811,400) | 1,723,000) | 1,691,000) | 1,673,600) | 901,000) | 817,100) | 753,000) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||||
| Debt to capital1 | 0.53 | 0.60 | 0.47 | 0.48 | 0.52 | 0.47 | 0.47 | 0.43 | 0.44 | 0.46 | 0.47 | 0.48 | 0.52 | 0.55 | 0.53 | 0.55 | 0.58 | 0.60 | 0.60 | 0.60 | 0.38 | 0.41 | 0.44 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Debt to Capital, Competitors2 | ||||||||||||||||||||||||||||||
| Abbott Laboratories | 0.29 | 0.31 | 0.31 | 0.31 | 0.32 | 0.31 | 0.33 | 0.34 | 0.35 | 0.35 | 0.35 | 0.36 | 0.37 | 0.39 | 0.38 | — | — | — | — | — | — | — | — | |||||||
| CVS Health Corp. | 0.45 | 0.47 | 0.45 | 0.42 | 0.42 | 0.42 | 0.43 | 0.43 | 0.44 | 0.45 | 0.47 | 0.48 | 0.49 | 0.51 | 0.52 | — | — | — | — | — | — | — | — | |||||||
| Elevance Health Inc. | 0.39 | 0.40 | 0.41 | 0.40 | 0.40 | 0.40 | 0.39 | 0.39 | 0.39 | 0.40 | 0.41 | 0.38 | 0.38 | 0.38 | 0.41 | — | — | — | — | — | — | — | — | |||||||
| Intuitive Surgical Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | — | — | — | — | — | — | — | — | |||||||
| Medtronic PLC | 0.35 | 0.34 | 0.31 | 0.31 | 0.32 | 0.33 | 0.34 | 0.34 | 0.37 | 0.37 | 0.36 | 0.33 | 0.33 | 0.34 | 0.34 | — | — | — | — | — | — | — | — | |||||||
| UnitedHealth Group Inc. | 0.43 | 0.44 | 0.46 | 0.43 | 0.39 | 0.41 | 0.39 | 0.39 | 0.40 | 0.41 | 0.41 | 0.40 | 0.40 | 0.42 | 0.48 | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Q3 2023 Calculation
Debt to capital = Total debt ÷ Total capital
= 2,556,600 ÷ 4,824,500 = 0.53
2 Click competitor name to see calculations.
- Total Debt
- The total debt shows a general increasing trend from March 31, 2018, through June 30, 2023. Starting at approximately $331.3 million in early 2018, it continuously rises with a notable spike in the fourth quarter of 2018 when it more than triples to around $1.01 billion. Thereafter, the debt remains relatively stable with gradual incremental increases until mid-2020, when it again increases sharply to approximately $1.66 billion by December 2020. The upward trajectory continues into 2022, reaching near $1.97 billion by the end of that year. In 2023, debt peaks in June at roughly $3.2 billion before decreasing to about $2.56 billion in September. This shows a period of significant debt accumulation, particularly in late 2018, mid-2020, and mid-2023.
- Total Capital
- Total capital mirrors the rising trend of total debt, increasing steadily from $753 million in March 2018 to over $4.8 billion by September 2023. The data indicates notable jumps in capital around the same periods as the debt spikes—specifically late 2018, mid-2020, and mid-2023—suggesting possible capital restructuring or funding activities coinciding with debt increases. Throughout the periods, total capital consistently surpasses the level of total debt, maintaining a solid growth pattern that reflects both financing and equity changes over time.
- Debt to Capital Ratio
- The debt to capital ratio exhibits considerable fluctuation over the observed periods. Initially, the ratio declines from 0.44 in early 2018 to a low of 0.38 by September 2018, indicating a strengthening capital base relative to debt. However, a sharp increase to 0.6 occurs by the end of 2018, coinciding with the large rise in debt. This elevated ratio remains relatively stable around 0.55–0.6 until mid-2020, when the ratio begins a gradual decrease to about 0.43 by the end of 2021, reflecting improving capital structure or debt reduction in relation to capital. In 2022, the ratio fluctuates modestly between 0.47 and 0.52, showing some volatility in the balance between debt and capital. Notably, in 2023, the ratio jumps again to 0.6 in June, matching the peak in total debt, before decreasing slightly to 0.53 by September. These variations highlight periods of increased leverage, with temporary peaks corresponding with debt surges.
Debt to Capital (including Operating Lease Liability)
DexCom Inc., debt to capital (including operating lease liability) calculation (quarterly data)
| 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 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Current portion of long-term senior convertible notes | 124,200) | 773,800) | 773,200) | 772,600) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | |||||||
| Long-term senior convertible notes | 2,432,400) | 2,430,600) | 1,198,500) | 1,197,700) | 1,968,800) | 1,967,300) | 1,965,900) | 1,702,700) | 1,703,500) | 1,710,700) | 1,688,800) | 1,667,200) | 1,645,800) | 1,658,800) | 1,072,400) | 1,059,700) | 1,047,100) | 1,034,700) | 1,022,400) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Total debt | 2,556,600) | 3,204,400) | 1,971,700) | 1,970,300) | 1,968,800) | 1,967,300) | 1,965,900) | 1,702,700) | 1,703,500) | 1,710,700) | 1,688,800) | 1,667,200) | 1,645,800) | 1,658,800) | 1,072,400) | 1,059,700) | 1,047,100) | 1,034,700) | 1,022,400) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Short-term operating lease liabilities | 21,000) | 21,800) | 22,200) | 20,500) | 20,900) | 21,200) | 20,900) | 20,500) | 19,300) | 18,800) | 18,200) | 16,500) | 15,800) | 15,100) | 14,500) | 13,600) | 14,800) | 14,100) | 12,300) | —) | —) | —) | —) | |||||||
| Long-term operating lease liabilities | 83,400) | 86,900) | 89,700) | 94,600) | 82,100) | 87,700) | 93,300) | 98,600) | 102,900) | 107,100) | 111,300) | 101,800) | 103,200) | 73,700) | 77,300) | 72,400) | 34,300) | 37,200) | 29,500) | —) | —) | —) | —) | |||||||
| Total debt (including operating lease liability) | 2,661,000) | 3,313,100) | 2,083,600) | 2,085,400) | 2,071,800) | 2,076,200) | 2,080,100) | 1,821,800) | 1,825,700) | 1,836,600) | 1,818,300) | 1,785,500) | 1,764,800) | 1,747,600) | 1,164,200) | 1,145,700) | 1,096,200) | 1,086,000) | 1,064,200) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Stockholders’ equity | 2,267,900) | 2,100,400) | 2,233,000) | 2,131,800) | 1,824,500) | 2,255,900) | 2,189,300) | 2,251,500) | 2,136,100) | 1,997,600) | 1,903,200) | 1,826,500) | 1,499,300) | 1,353,900) | 934,500) | 882,600) | 764,300) | 688,300) | 668,600) | 663,300) | 562,200) | 482,100) | 421,700) | |||||||
| Total capital (including operating lease liability) | 4,928,900) | 5,413,500) | 4,316,600) | 4,217,200) | 3,896,300) | 4,332,100) | 4,269,400) | 4,073,300) | 3,961,800) | 3,834,200) | 3,721,500) | 3,612,000) | 3,264,100) | 3,101,500) | 2,098,700) | 2,028,300) | 1,860,500) | 1,774,300) | 1,732,800) | 1,673,600) | 901,000) | 817,100) | 753,000) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||||
| Debt to capital (including operating lease liability)1 | 0.54 | 0.61 | 0.48 | 0.49 | 0.53 | 0.48 | 0.49 | 0.45 | 0.46 | 0.48 | 0.49 | 0.49 | 0.54 | 0.56 | 0.55 | 0.56 | 0.59 | 0.61 | 0.61 | 0.60 | 0.38 | 0.41 | 0.44 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | ||||||||||||||||||||||||||||||
| CVS Health Corp. | 0.52 | 0.53 | 0.52 | 0.50 | 0.50 | 0.50 | 0.51 | 0.50 | 0.51 | 0.52 | 0.54 | 0.55 | 0.56 | 0.58 | 0.59 | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Q3 2023 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 2,661,000 ÷ 4,928,900 = 0.54
2 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals notable trends in the company's leverage and capital structure over the observed period.
- Total Debt (including operating lease liability)
- The total debt exhibited an overall increasing trend from March 31, 2018, starting at $331.3 million and rising to a peak of approximately $3.31 billion by June 30, 2023. There were significant increments observed starting in the last quarter of 2018, where debt more than tripled compared to the previous quarter, and another sharp increase noted between June 30, 2023, and September 30, 2023. Despite some fluctuations, debt levels remained generally elevated in recent periods compared to earlier years.
- Total Capital (including operating lease liability)
- Total capital similarly trended upwards, increasing from $753 million in March 2018 to a peak of about $5.41 billion in June 2023. The pattern shows steady growth with pronounced jumps occurring concurrently with those in total debt, particularly starting at the end of 2018. These increases suggest considerable scaling of the company's financing base over time.
- Debt to Capital Ratio (including operating lease liability)
- The debt to capital ratio experienced fluctuations throughout the period. Initially, the ratio declined from 0.44 at the beginning of 2018 to a low of 0.38 by September 2018, indicating a reduction in leverage relative to capital. However, a strong upward shift arose at the close of 2018, reaching as high as 0.61 in March 2019, reflecting increased borrowing relative to total capital. Subsequent periods showed a gradual decline in leverage through 2021 to as low as 0.45 by December 2021, followed by a slight rise again approaching 0.54 by September 2023. These shifts imply a variable financing structure with periods of increased debt reliance and phases of deleveraging.
In summary, the company has significantly expanded its capital base and debt levels over the analyzed timeframe, with debt growing at a somewhat faster pace leading to increased leverage during certain intervals. The ratio dynamics suggest management's responsive approach to debt utilization, balancing expansion with periods of relative debt reduction. The substantial increases both in debt and capital since late 2018 mark a critical phase of financial scaling, which warrants ongoing monitoring to assess sustainability and impact on financial stability.
Debt to Assets
DexCom Inc., debt to assets calculation (quarterly data)
| 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 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Current portion of long-term senior convertible notes | 124,200) | 773,800) | 773,200) | 772,600) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | |||||||
| Long-term senior convertible notes | 2,432,400) | 2,430,600) | 1,198,500) | 1,197,700) | 1,968,800) | 1,967,300) | 1,965,900) | 1,702,700) | 1,703,500) | 1,710,700) | 1,688,800) | 1,667,200) | 1,645,800) | 1,658,800) | 1,072,400) | 1,059,700) | 1,047,100) | 1,034,700) | 1,022,400) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Total debt | 2,556,600) | 3,204,400) | 1,971,700) | 1,970,300) | 1,968,800) | 1,967,300) | 1,965,900) | 1,702,700) | 1,703,500) | 1,710,700) | 1,688,800) | 1,667,200) | 1,645,800) | 1,658,800) | 1,072,400) | 1,059,700) | 1,047,100) | 1,034,700) | 1,022,400) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Total assets | 6,596,200) | 6,820,700) | 5,515,900) | 5,391,700) | 4,899,200) | 5,217,400) | 5,057,000) | 4,863,600) | 4,775,900) | 4,503,800) | 4,389,800) | 4,290,500) | 3,833,200) | 3,521,800) | 2,447,900) | 2,395,000) | 2,185,700) | 2,065,900) | 1,974,000) | 1,916,000) | 1,114,300) | 1,007,500) | 896,800) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||||
| Debt to assets1 | 0.39 | 0.47 | 0.36 | 0.37 | 0.40 | 0.38 | 0.39 | 0.35 | 0.36 | 0.38 | 0.38 | 0.39 | 0.43 | 0.47 | 0.44 | 0.44 | 0.48 | 0.50 | 0.52 | 0.53 | 0.30 | 0.33 | 0.37 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Debt to Assets, Competitors2 | ||||||||||||||||||||||||||||||
| Abbott Laboratories | 0.22 | 0.23 | 0.23 | 0.23 | 0.23 | 0.23 | 0.23 | 0.24 | 0.25 | 0.25 | 0.25 | 0.26 | 0.27 | 0.29 | 0.27 | — | — | — | — | — | — | — | — | |||||||
| CVS Health Corp. | 0.25 | 0.26 | 0.24 | 0.23 | 0.23 | 0.24 | 0.24 | 0.24 | 0.25 | 0.26 | 0.27 | 0.28 | 0.29 | 0.30 | 0.31 | — | — | — | — | — | — | — | — | |||||||
| Elevance Health Inc. | 0.22 | 0.23 | 0.23 | 0.23 | 0.23 | 0.23 | 0.23 | 0.24 | 0.23 | 0.24 | 0.24 | 0.23 | 0.24 | 0.24 | 0.26 | — | — | — | — | — | — | — | — | |||||||
| Intuitive Surgical Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | — | — | — | — | — | — | — | — | |||||||
| Medtronic PLC | 0.30 | 0.29 | 0.26 | 0.27 | 0.27 | 0.28 | 0.28 | 0.28 | 0.31 | 0.31 | 0.31 | 0.27 | 0.28 | 0.28 | 0.29 | — | — | — | — | — | — | — | — | |||||||
| UnitedHealth Group Inc. | 0.22 | 0.23 | 0.25 | 0.23 | 0.20 | 0.22 | 0.21 | 0.22 | 0.22 | 0.23 | 0.23 | 0.22 | 0.23 | 0.24 | 0.27 | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Q3 2023 Calculation
Debt to assets = Total debt ÷ Total assets
= 2,556,600 ÷ 6,596,200 = 0.39
2 Click competitor name to see calculations.
The financial data demonstrates fluctuations and longer-term trends in key metrics such as total debt, total assets, and the debt-to-assets ratio over a period spanning from the first quarter of 2018 through the third quarter of 2023.
- Total Debt
- Total debt initially shows a relatively moderate increase from approximately 331 million USD in March 2018 to around 1.06 billion USD by the end of 2019. A significant jump occurs between June 2020 and June 2023, with total debt rising from about 1.66 billion USD to a peak of 3.2 billion USD in June 2023, before declining to roughly 2.56 billion USD by September 2023. These changes indicate periods of substantial borrowing, particularly evident in mid-2020 and mid-2023, followed by a reduction towards the latest period.
- Total Assets
- Total assets exhibit a steady and strong upward trend throughout the examined quarters. Beginning near 897 million USD in March 2018, total assets increase consistently, surpassing 5 billion USD during the early part of 2022 and peaking at approximately 6.82 billion USD in September 2023. This growth reflects ongoing asset accumulation and possibly expansion activities.
- Debt to Assets Ratio
- The debt-to-assets ratio fluctuates considerably, reflecting the interplay between debt and asset growth. Initially, this ratio declines from 0.37 in March 2018 to a low of about 0.30 by September 2018, suggesting that assets grew faster than debt. However, by December 2018, the ratio sharply increases to 0.53, indicating a rapid rise in debt relative to assets during that period. Following this peak, the ratio gradually declines again, reaching approximately 0.35 by December 2021, reflecting a more conservative leverage posture. In 2022 and 2023, more volatility is observed. The ratio increases periodically, with a notable peak at 0.47 in June 2023, coinciding with the maximum total debt recorded, before falling again to around 0.39 in September 2023. This suggests episodic borrowing spikes that momentarily increased leverage, followed by debt repayments or rebalancing.
Overall, the data indicates a trend of asset growth accompanied by periods of significant debt increases. The company appears to manage its leverage dynamically, increasing debt to finance growth or other activities during certain intervals, but generally maintaining a debt-to-assets ratio mostly below 0.5, indicative of a moderate leverage position relative to total assets. The most recent data suggests some deleveraging following a peak in total debt and debt ratio.
Debt to Assets (including Operating Lease Liability)
DexCom Inc., debt to assets (including operating lease liability) calculation (quarterly data)
| 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 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Current portion of long-term senior convertible notes | 124,200) | 773,800) | 773,200) | 772,600) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | |||||||
| Long-term senior convertible notes | 2,432,400) | 2,430,600) | 1,198,500) | 1,197,700) | 1,968,800) | 1,967,300) | 1,965,900) | 1,702,700) | 1,703,500) | 1,710,700) | 1,688,800) | 1,667,200) | 1,645,800) | 1,658,800) | 1,072,400) | 1,059,700) | 1,047,100) | 1,034,700) | 1,022,400) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Total debt | 2,556,600) | 3,204,400) | 1,971,700) | 1,970,300) | 1,968,800) | 1,967,300) | 1,965,900) | 1,702,700) | 1,703,500) | 1,710,700) | 1,688,800) | 1,667,200) | 1,645,800) | 1,658,800) | 1,072,400) | 1,059,700) | 1,047,100) | 1,034,700) | 1,022,400) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Short-term operating lease liabilities | 21,000) | 21,800) | 22,200) | 20,500) | 20,900) | 21,200) | 20,900) | 20,500) | 19,300) | 18,800) | 18,200) | 16,500) | 15,800) | 15,100) | 14,500) | 13,600) | 14,800) | 14,100) | 12,300) | —) | —) | —) | —) | |||||||
| Long-term operating lease liabilities | 83,400) | 86,900) | 89,700) | 94,600) | 82,100) | 87,700) | 93,300) | 98,600) | 102,900) | 107,100) | 111,300) | 101,800) | 103,200) | 73,700) | 77,300) | 72,400) | 34,300) | 37,200) | 29,500) | —) | —) | —) | —) | |||||||
| Total debt (including operating lease liability) | 2,661,000) | 3,313,100) | 2,083,600) | 2,085,400) | 2,071,800) | 2,076,200) | 2,080,100) | 1,821,800) | 1,825,700) | 1,836,600) | 1,818,300) | 1,785,500) | 1,764,800) | 1,747,600) | 1,164,200) | 1,145,700) | 1,096,200) | 1,086,000) | 1,064,200) | 1,010,300) | 338,800) | 335,000) | 331,300) | |||||||
| Total assets | 6,596,200) | 6,820,700) | 5,515,900) | 5,391,700) | 4,899,200) | 5,217,400) | 5,057,000) | 4,863,600) | 4,775,900) | 4,503,800) | 4,389,800) | 4,290,500) | 3,833,200) | 3,521,800) | 2,447,900) | 2,395,000) | 2,185,700) | 2,065,900) | 1,974,000) | 1,916,000) | 1,114,300) | 1,007,500) | 896,800) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||||
| Debt to assets (including operating lease liability)1 | 0.40 | 0.49 | 0.38 | 0.39 | 0.42 | 0.40 | 0.41 | 0.37 | 0.38 | 0.41 | 0.41 | 0.42 | 0.46 | 0.50 | 0.48 | 0.48 | 0.50 | 0.53 | 0.54 | 0.53 | 0.30 | 0.33 | 0.37 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | ||||||||||||||||||||||||||||||
| CVS Health Corp. | 0.32 | 0.33 | 0.32 | 0.31 | 0.31 | 0.32 | 0.33 | 0.33 | 0.33 | 0.34 | 0.36 | 0.37 | 0.37 | 0.39 | 0.40 | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Q3 2023 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 2,661,000 ÷ 6,596,200 = 0.40
2 Click competitor name to see calculations.
- Total Debt (including operating lease liability)
- The total debt exhibited an overall upward trend from March 2018 through June 2023, increasing from approximately $331.3 million to about $2.66 billion. Notable increases occurred particularly between December 2019 and June 2020, where debt surged from roughly $1.15 billion to $1.75 billion, and then again a significant peak in June 2023 at approximately $3.31 billion before a decline in the following quarter. This indicates periodic large-scale financing activities or actual increases in liabilities during the observed periods.
- Total Assets
- Total assets showed a consistent growth pattern throughout the period, expanding from nearly $897 million in March 2018 to a peak of approximately $6.82 billion by September 2023. This growth was mostly steady, with significant acceleration evident after June 2019, including a substantial increase between June 2020 and December 2021. Minor volatility appeared towards the end of the period, with some decreases between September 2022 and December 2022 before rebounding again to mid-2023.
- Debt to Assets Ratio (including operating lease liability)
- The debt to assets ratio fluctuated, starting at 0.37 in March 2018, declining to a low of 0.30 by September 2018, and then sharply rising to 0.53 in December 2018. It remained relatively elevated around the 0.40 to 0.50 range thereafter, with some periods showing moderate declines, such as from 0.50 in June 2020 down to about 0.38 by December 2021. The final quarters indicate variability with a spike to 0.49 in June 2023 followed by a decrease to 0.40 by September 2023. This suggests fluctuating leverage levels, with debt proportionally rising and falling in relation to asset base changes over time.
- Summary of Trends and Insights
- The financial data shows a clear expansion strategy supported by increasing assets and periodic increases in debt. Total assets grew significantly over the analyzed duration, indicating investments or acquisitions. The total debt similarly increased but with episodic large rises, potentially reflecting strategic financing events. The debt to assets ratio suggests varying reliance on debt financing relative to asset growth, with multiple fluctuations indicating adjustments either in capital structure or asset base composition. The ability to manage this ratio around mid-level leverage indicates a balance between growth and financial risk management, although recent volatility may warrant closer monitoring.
Financial Leverage
DexCom Inc., financial leverage calculation (quarterly data)
| 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 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Total assets | 6,596,200) | 6,820,700) | 5,515,900) | 5,391,700) | 4,899,200) | 5,217,400) | 5,057,000) | 4,863,600) | 4,775,900) | 4,503,800) | 4,389,800) | 4,290,500) | 3,833,200) | 3,521,800) | 2,447,900) | 2,395,000) | 2,185,700) | 2,065,900) | 1,974,000) | 1,916,000) | 1,114,300) | 1,007,500) | 896,800) | |||||||
| Stockholders’ equity | 2,267,900) | 2,100,400) | 2,233,000) | 2,131,800) | 1,824,500) | 2,255,900) | 2,189,300) | 2,251,500) | 2,136,100) | 1,997,600) | 1,903,200) | 1,826,500) | 1,499,300) | 1,353,900) | 934,500) | 882,600) | 764,300) | 688,300) | 668,600) | 663,300) | 562,200) | 482,100) | 421,700) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||||
| Financial leverage1 | 2.91 | 3.25 | 2.47 | 2.53 | 2.69 | 2.31 | 2.31 | 2.16 | 2.24 | 2.25 | 2.31 | 2.35 | 2.56 | 2.60 | 2.62 | 2.71 | 2.86 | 3.00 | 2.95 | 2.89 | 1.98 | 2.09 | 2.13 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Financial Leverage, Competitors2 | ||||||||||||||||||||||||||||||
| Abbott Laboratories | 1.92 | 1.97 | 1.99 | 2.03 | 2.04 | 2.03 | 2.09 | 2.10 | 2.14 | 2.17 | 2.17 | 2.21 | 2.20 | 2.25 | 2.21 | — | — | — | — | — | — | — | — | |||||||
| CVS Health Corp. | 3.38 | 3.44 | 3.35 | 3.21 | 3.27 | 3.06 | 3.15 | 3.10 | 3.16 | 3.16 | 3.24 | 3.32 | 3.38 | 3.46 | 3.54 | — | — | — | — | — | — | — | — | |||||||
| Elevance Health Inc. | 2.88 | 2.86 | 2.92 | 2.83 | 2.86 | 2.82 | 2.79 | 2.70 | 2.74 | 2.75 | 2.83 | 2.61 | 2.55 | 2.55 | 2.60 | — | — | — | — | — | — | — | — | |||||||
| Intuitive Surgical Inc. | 1.17 | 1.17 | 1.16 | 1.17 | 1.15 | 1.14 | 1.13 | 1.14 | 1.13 | 1.13 | 1.14 | 1.15 | 1.15 | 1.16 | 1.16 | — | — | — | — | — | — | — | — | |||||||
| Medtronic PLC | 1.83 | 1.80 | 1.71 | 1.73 | 1.75 | 1.76 | 1.78 | 1.81 | 1.92 | 1.91 | 1.87 | 1.79 | 1.79 | 1.80 | 1.81 | — | — | — | — | — | — | — | — | |||||||
| UnitedHealth Group Inc. | 3.34 | 3.40 | 3.49 | 3.16 | 3.26 | 3.16 | 3.04 | 2.96 | 3.03 | 3.05 | 3.09 | 3.01 | 2.93 | 3.03 | 3.32 | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Q3 2023 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity
= 6,596,200 ÷ 2,267,900 = 2.91
2 Click competitor name to see calculations.
- Total Assets
- The total assets exhibit a general upward trend over the analyzed period from March 2018 to September 2023. Initial assets increased steadily from approximately 896.8 million US dollars to a peak around the end of 2021, reaching nearly 4.9 billion US dollars. After a slight dip in late 2022, assets rebounded significantly by mid-2023, exceeding 6.8 billion US dollars by September 2023. This reflects substantial growth, particularly notable in the period between 2019 and 2021, as well as again in 2023.
- Stockholders’ Equity
- Stockholders’ equity also follows a generally increasing path, rising from approximately 421.7 million US dollars in early 2018 to a peak of around 2.25 billion US dollars in late 2021. However, a decline is observed throughout 2022, with equity decreasing to approximately 1.82 billion US dollars by the end of that year. The equity values partially recover in 2023, ending at about 2.27 billion US dollars in the third quarter. This pattern suggests periods of equity strengthening interspersed with some decrease, possibly due to factors such as share repurchases, dividend payments, or net losses.
- Financial Leverage
- The financial leverage ratio fluctuates between 1.98 and 3.25 over the period, indicating varying degrees of debt utilization relative to equity. Starting near 2.13 in early 2018, leverage peaks sharply at 2.89 in late 2018, then oscillates mostly in the range of 2.2 to 2.7 until late 2022 when it rises to its highest value, 3.25, and slightly decreases thereafter to 2.91 by September 2023. The increase in leverage towards the end of the period indicates a higher reliance on debt financing relative to equity, despite the growth in total assets.
- Overall Analysis
- The data suggests robust asset growth accompanied by expanding equity, reflecting positive operational or investment outcomes over several years. The temporary decline in equity during 2022 signals some interim financial pressures or strategic capital adjustments. The increasing trend in financial leverage notably in late 2022 and 2023 points to enhanced financial risk, as the company appears to employ more debt in its capital structure. This shift could either be a strategic move to finance growth opportunities or a response to external financial conditions. Continuous monitoring of leverage alongside asset and equity trends will be essential for assessing future financial stability.
Interest Coverage
DexCom Inc., interest coverage calculation (quarterly data)
| 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 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Net income (loss) | 120,700) | 115,900) | 48,600) | 91,800) | 101,200) | 50,900) | 97,300) | (19,400) | 70,900) | 62,900) | 40,300) | 355,200) | 72,200) | 46,300) | 19,900) | 92,700) | 45,800) | (10,500) | (26,900) | (179,700) | 46,600) | 30,200) | (24,200) | |||||||
| Add: Income tax expense | 119,700) | 43,400) | 15,900) | 41,400) | 45,000) | 24,400) | (61,200) | 4,700) | 19,800) | 13,800) | (19,100) | (273,900) | 2,900) | (100) | 2,500) | 1,600) | —) | 1,200) | 300) | 2,800) | (1,800) | (600) | 200) | |||||||
| Add: Interest expense | —) | —) | —) | 4,700) | 4,600) | 4,700) | 4,600) | 25,200) | 25,100) | 25,200) | 24,800) | 24,600) | 24,400) | 20,300) | 15,400) | 15,300) | 15,100) | 15,000) | 14,900) | 8,200) | 4,900) | 4,800) | 4,800) | |||||||
| Earnings before interest and tax (EBIT) | 240,400) | 159,300) | 64,500) | 137,900) | 150,800) | 80,000) | 40,700) | 10,500) | 115,800) | 101,900) | 46,000) | 105,900) | 99,500) | 66,500) | 37,800) | 109,600) | 60,900) | 5,700) | (11,700) | (168,700) | 49,700) | 34,400) | (19,200) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||||
| Interest coverage1 | 128.11 | 55.11 | 30.94 | 22.01 | 7.21 | 4.14 | 3.36 | 2.73 | 3.71 | 3.57 | 3.38 | 3.66 | 4.16 | 4.16 | 3.52 | 2.73 | -2.14 | -2.91 | -2.94 | -4.57 | — | — | — | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Interest Coverage, Competitors2 | ||||||||||||||||||||||||||||||
| Abbott Laboratories | 10.79 | 11.34 | 13.06 | 15.89 | 18.41 | 20.07 | 18.10 | 16.41 | 16.38 | 14.28 | 12.77 | 10.10 | — | — | — | — | — | — | — | — | — | — | — | |||||||
| CVS Health Corp. | 5.59 | 2.71 | 3.43 | 3.46 | 2.75 | 5.49 | 5.27 | 5.16 | 4.92 | 4.60 | 4.52 | 4.36 | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Elevance Health Inc. | 8.87 | 9.76 | 9.95 | 10.13 | 10.75 | 10.71 | 11.01 | 10.93 | 10.04 | 8.03 | 9.09 | 8.96 | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Medtronic PLC | 10.15 | 11.02 | 10.88 | 10.98 | 10.95 | 10.18 | 5.65 | 5.21 | 3.68 | 4.02 | 6.60 | 4.71 | — | — | — | — | — | — | — | — | — | — | — | |||||||
| UnitedHealth Group Inc. | 10.21 | 10.99 | 12.25 | 13.59 | 14.66 | 14.45 | 14.26 | 14.44 | 13.46 | 13.03 | 14.88 | 13.47 | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Q3 2023 Calculation
Interest coverage
= (EBITQ3 2023
+ EBITQ2 2023
+ EBITQ1 2023
+ EBITQ4 2022)
÷ (Interest expenseQ3 2023
+ Interest expenseQ2 2023
+ Interest expenseQ1 2023
+ Interest expenseQ4 2022)
= (240,400 + 159,300 + 64,500 + 137,900)
÷ (0 + 0 + 0 + 4,700)
= 128.11
2 Click competitor name to see calculations.
- Earnings before interest and tax (EBIT)
- The EBIT values exhibit significant volatility over the analyzed quarters. Initially, from early 2018 through late 2018, EBIT fluctuates with notable negative values, including a pronounced decline to -168,700 in December 2018. Following this period, a recovery phase is observed from early 2019 to late 2021, marked by generally positive and increasing EBIT figures, reaching peaks such as 115,800 in September 2021. However, the trajectory shows fluctuations thereafter with a dip to 10,500 in December 2021 before rebounding strongly in subsequent quarters, culminating in a substantial increase to 240,400 by September 2023. This implies a strengthening operational profitability trend after considerable early instability.
- Interest Expense
- Interest expense remains relatively stable from 2018 through 2021, fluctuating narrowly between approximately 4,600 and 25,200 US$ thousands. In particular, interest expenses increased noticeably in late 2019 and throughout 2020, peaking near 25,200, before dropping sharply to values around 4,600-4,700 in 2022 and the first half of 2023. The absence of interest expense data from mid-2023 onwards suggests either a significant reduction or elimination of debt-related costs during this later period, aligning with improving operational earnings.
- Interest Coverage Ratio
- The interest coverage ratio demonstrates marked improvement over the examined timeline. Initially, the ratio is negative in 2018 and early 2019, reflective of negative or insufficient EBIT relative to interest expenses. Starting mid-2019, the ratio shifts to positive figures above 2, signaling better EBIT coverage of interest obligations. Over 2020 through 2021, the ratio stabilizes within the 3 to 4 range. From 2022 onwards, there is a pronounced upward trajectory, peaking sharply to ratios exceeding 100 by the latest quarters. This dramatic increase indicates a significantly enhanced ability to meet interest payments comfortably, consistent with rising EBIT and declining interest expenses.
- Summary of Financial Trend
- The overall financial data indicate an initial period marked by operational losses and high interest burdens, resulting in negative interest coverage. Improvement in operational efficiency and profitability is evident from mid-2019 onwards, supported by rising EBIT and a reduction in relative interest expense. The strengthened EBIT combined with diminishing interest costs leads to a substantial elevation of the interest coverage ratio, highlighting enhanced financial stability and lower credit risk as of the latest quarters. The data suggest effective management of operational performance and debt-related expenses, culminating in a more robust financial position by late 2023.