CoStar Group Inc. (NASDAQ:CSGP)

The financial data reveals several trends relating to long-term debt, stockholders’ equity, and the debt to equity ratio over the specified periods.

Long-term debt, net

Beginning with available data in 2013, long-term debt shows a general pattern of fluctuation. It peaks sharply at 385,000 thousand US$ in 2015, following a moderate increase from 170,625 thousand US$ in 2013. After this peak, long-term debt decreases somewhat in subsequent years, reaching approximately 338,339 thousand US$ by the end of 2017. Data resumes again in 2020, showing a substantial increase to nearly 987,000 thousand US$, maintaining a stable level through 2022. This suggests a strategic increase in leveraged financing during the latter years.

Stockholders’ equity

A consistent and pronounced upward trend is evident in stockholders’ equity from 2005 through 2022. Starting at 224,796 thousand US$ in 2005, equity rises steadily each year, with particularly accelerated growth from around 2013 onward. By 2022, stockholders’ equity reaches approximately 6,870,121 thousand US$, reflecting a strong capitalization and possible accumulation of retained earnings or new equity financing. This sustained increase demonstrates growing company value and financial strength across the period.

Debt to equity ratio

Where data is available starting in 2013, the debt to equity ratio remains relatively low, fluctuating between 0.14 and 0.25. The highest ratio, 0.25, occurs in 2015, coinciding with the peak in long-term debt. After 2015, the ratio gradually declines, reaching as low as 0.14 by 2022. This decrease indicates improving financial leverage management, with equity increasing at a stronger pace relative to debt, contributing to a more conservative capital structure in recent years.

Overall, the data indicates a company that has significantly enhanced its equity base, while managing its long-term debt levels to maintain a conservative debt to equity ratio in the later years. The increased long-term debt noted from 2020 onward, alongside strong equity growth, suggests a balanced approach to financing expansion or operations.