Debt to Equity
since 2009
Calculation
Fortinet Inc., debt to equity, long-term trends, calculation
| Debt to equity | = | Long-term debt1 | ÷ | Total Fortinet, Inc. stockholders’ equity (deficit)1 | |
|---|---|---|---|---|---|
| Dec 31, 2022 | — | = | 990,400) | ÷ | (281,600) |
| Dec 31, 2021 | 1.26 | = | 988,400) | ÷ | 781,700) |
| Dec 31, 2020 | 0.00 | = | —) | ÷ | 856,000) |
| Dec 31, 2019 | 0.00 | = | —) | ÷ | 1,321,900) |
| Dec 31, 2018 | 0.00 | = | —) | ÷ | 1,010,200) |
| Dec 31, 2017 | 0.00 | = | —) | ÷ | 589,377) |
| Dec 31, 2016 | 0.00 | = | —) | ÷ | 837,681) |
| Dec 31, 2015 | 0.00 | = | —) | ÷ | 755,377) |
| Dec 31, 2014 | 0.00 | = | —) | ÷ | 675,966) |
| Dec 31, 2013 | 0.00 | = | —) | ÷ | 585,760) |
| Dec 31, 2012 | 0.00 | = | —) | ÷ | 510,934) |
| Dec 31, 2011 | 0.00 | = | —) | ÷ | 358,354) |
| Dec 31, 2010 | 0.00 | = | —) | ÷ | 232,454) |
| Dec 31, 2009 | 0.00 | = | —) | ÷ | 142,452) |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31).
1 US$ in thousands
A comprehensive review of the capital structure reveals a significant transition from a period of steady equity growth to a state of equity deficit, coinciding with the introduction of substantial long-term debt in the later years of the analyzed period.
- Stockholders' Equity Trends
- Equity experienced a consistent upward trajectory from 2009 through 2016, rising from 142,452 thousand to 837,681 thousand. After a temporary contraction in 2017, equity peaked at 1,321,900 thousand in 2019. However, a sharp reversal followed, with equity declining annually from 2020 until it reached a deficit of 281,600 thousand by December 31, 2022.
- Long-term Debt Obligations
- Long-term debt was absent from the records for the majority of the period, appearing only in the final two years. In 2021, the company recorded 988,400 thousand in long-term debt, which remained nearly constant at 990,400 thousand by the end of 2022.
- Debt to Equity Interpretation
- The debt to equity ratio was recorded at 1.26 in 2021, signaling that long-term liabilities had surpassed total stockholders' equity. The subsequent shift to a negative equity balance in 2022, while long-term debt remained stable, indicates a critical deterioration of the solvency ratio and a fundamental change in the company's financial leverage profile.
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Comparison to Competitors
Fortinet Inc., debt to equity, long-term trends, comparison to competitors
| Fortinet Inc. | Accenture PLC | Adobe Inc. | AppLovin Corp. | Cadence Design Systems Inc. | Datadog Inc. | International Business Machines Corp. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Palo Alto Networks Inc. | Salesforce Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Dec 31, 2022 | — | 0.00 | 0.29 | 1.69 | 0.27 | 0.52 | 2.32 | 0.42 | 0.39 | — | 0.00 | 17.51 | 0.19 | 0.30 | 0.00 | 0.41 |
| Dec 31, 2021 | 1.26 | 0.00 | 0.28 | 1.51 | 0.13 | 0.71 | 2.74 | 0.21 | 0.50 | 16.08 | 0.00 | 5.08 | 0.07 | 0.43 | 0.02 | 0.55 |
| Dec 31, 2020 | 0.00 | 0.00 | 0.31 | — | 0.14 | 0.60 | 2.99 | 0.66 | 0.62 | 5.93 | 0.13 | 2.80 | 0.09 | 0.58 | 0.03 | 0.51 |
| Dec 31, 2019 | 0.00 | 0.00 | 0.39 | — | 0.16 | 0.00 | 3.02 | 0.12 | 0.77 | 2.58 | — | 0.90 | 0.22 | 0.33 | 0.03 | 0.62 |
| Dec 31, 2018 | 0.00 | 0.00 | 0.44 | — | 0.35 | — | 2.73 | 0.19 | 0.97 | 1.33 | — | 1.99 | 0.21 | 0.60 | 0.13 | 0.94 |
| Dec 31, 2017 | 0.00 | 0.00 | 0.22 | — | 0.74 | — | 2.66 | 0.36 | 1.23 | 1.08 | — | 0.69 | 0.32 | 2.01 | 0.04 | 0.46 |
| Dec 31, 2016 | 0.00 | 0.00 | 0.26 | — | 0.93 | — | 2.31 | 0.86 | 0.76 | 0.93 | — | 0.64 | 0.36 | 1.31 | 0.06 | 0.45 |
| Dec 31, 2015 | 0.00 | 0.00 | 0.27 | — | 0.25 | — | 2.80 | 0.21 | 0.44 | 0.86 | — | 1.00 | 0.49 | 0.84 | 0.07 | 0.44 |
| Dec 31, 2014 | 0.00 | 0.00 | 0.22 | — | 0.52 | — | 3.44 | 0.16 | 0.25 | 0.52 | — | 1.00 | 0.79 | 1.04 | 0.02 | 0.41 |
| Dec 31, 2013 | 0.00 | 0.01 | 0.23 | — | 0.28 | — | 1.74 | 0.14 | 0.20 | 0.41 | — | 0.00 | 0.25 | 1.05 | 0.04 | 0.04 |
| Dec 31, 2012 | 0.00 | 0.00 | 0.23 | — | 0.49 | — | 1.76 | 0.18 | 0.18 | 0.38 | — | 0.00 | 0.35 | 0.00 | 0.05 | — |
| Dec 31, 2011 | 0.00 | 0.00 | 0.26 | — | 1.04 | — | 1.56 | 0.38 | 0.21 | 0.40 | — | — | 0.38 | — | 0.00 | — |
| Dec 31, 2010 | 0.00 | 0.00 | 0.29 | — | 1.99 | — | 1.24 | 0.35 | 0.13 | 0.48 | — | — | 0.45 | — | 0.00 | — |
| Dec 31, 2009 | 0.00 | 0.00 | 0.20 | — | 4.02 | — | 1.15 | 0.39 | 0.15 | 0.41 | — | — | 0.01 | — | 0.00 | — |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31).
Comparison to Sector (Software & Services)
Fortinet Inc., debt to equity, long-term trends, comparison to sector (software & services)
| Fortinet Inc. | Software & Services | |
|---|---|---|
| Dec 31, 2022 | — | 0.71 |
| Dec 31, 2021 | 1.26 | 0.83 |
| Dec 31, 2020 | 0.00 | 0.95 |
| Dec 31, 2019 | 0.00 | 1.04 |
| Dec 31, 2018 | 0.00 | 1.07 |
| Dec 31, 2017 | 0.00 | 1.14 |
| Dec 31, 2016 | 0.00 | 0.90 |
| Dec 31, 2015 | 0.00 | 0.73 |
| Dec 31, 2014 | 0.00 | 0.54 |
| Dec 31, 2013 | 0.00 | 0.46 |
| Dec 31, 2012 | 0.00 | 0.44 |
| Dec 31, 2011 | 0.00 | 0.47 |
| Dec 31, 2010 | 0.00 | 0.46 |
| Dec 31, 2009 | 0.00 | 0.44 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31).
Comparison to Industry (Information Technology)
Fortinet Inc., debt to equity, long-term trends, comparison to industry (information technology)
| Fortinet Inc. | Information Technology | |
|---|---|---|
| Dec 31, 2022 | — | 0.70 |
| Dec 31, 2021 | 1.26 | 0.82 |
| Dec 31, 2020 | 0.00 | 0.95 |
| Dec 31, 2019 | 0.00 | 0.97 |
| Dec 31, 2018 | 0.00 | 0.82 |
| Dec 31, 2017 | 0.00 | 0.80 |
| Dec 31, 2016 | 0.00 | 0.65 |
| Dec 31, 2015 | 0.00 | 0.56 |
| Dec 31, 2014 | 0.00 | 0.38 |
| Dec 31, 2013 | 0.00 | 0.28 |
| Dec 31, 2012 | 0.00 | 0.24 |
| Dec 31, 2011 | 0.00 | 0.27 |
| Dec 31, 2010 | 0.00 | 0.24 |
| Dec 31, 2009 | 0.00 | 0.25 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31).