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)
Moderna Inc., solvency ratios (quarterly data)
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 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).
The financial leverage ratios and various debt-related metrics demonstrate notable stability with some fluctuations over the analyzed periods, reflecting a relatively conservative capital structure.
- Debt to Equity Ratios
- The debt to equity ratio remained consistently low, fluctuating between 0.02 and 0.05, indicating minimal reliance on debt financing compared to equity. The inclusion of operating lease liabilities resulted in higher ratios, generally between 0.03 and 0.11, suggesting that lease obligations constitute a noticeable portion of the company's liabilities but do not aggressively leverage the balance sheet.
- Debt to Capital Ratios
- These ratios mirrored the debt to equity pattern, staying mostly within the 0.02 to 0.05 range, with the adjusted figures including operating leases rising somewhat higher up to 0.10 or 0.11 in recent periods. This highlights a stable mix of debt and equity in the company's capital structure with a slight increase in liabilities recognized from leases over time.
- Debt to Assets Ratios
- Debt to assets remained modest, generally between 0.01 and 0.04, with slightly higher values upon inclusion of operating lease liabilities (0.02 to 0.08). This implies a low proportion of debt compared to the asset base, supporting a low-risk profile in terms of solvency.
- Financial Leverage
- Financial leverage ratios showed more variation, ranging from a low of approximately 1.18 to a peak near 3.31 early in the period. After this peak, the ratio declined and stabilized around 1.3 to 1.45 in recent quarters. This suggests an initial phase with higher leverage, possibly linked to growth or investment phases, followed by a period of deleveraging or consolidation.
Overall, the company maintains a low to moderate level of debt relative to equity, capital, and assets, signifying prudent financial management. The adjustments for lease liabilities imply a recognition of off-balance sheet obligations, yet these do not materially alter the overall conservative leverage posture. The financial leverage trend points to some variability early on but stabilizes in later periods, which could reflect strategic efforts to optimize the balance between debt and equity financing.
Debt Ratios
Debt to Equity
Moderna Inc., debt to equity calculation (quarterly data)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Financing lease liabilities, non-current | 625) | 576) | 575) | 575) | 575) | 843) | 831) | 912) | 922) | 641) | 646) | 599) | 238) | 328) | 138) | 110) | 109) | 68) | 39) | ||||||
| Deferred lease obligation, non-current | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Lease financing obligation | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Total debt | 625) | 576) | 575) | 575) | 575) | 843) | 831) | 912) | 922) | 641) | 646) | 599) | 238) | 328) | 138) | 110) | 109) | 68) | 39) | ||||||
| Stockholders’ equity | 11,927) | 11,712) | 12,817) | 13,854) | 13,455) | 16,949) | 18,863) | 19,123) | 17,992) | 17,985) | 17,075) | 14,145) | 10,124) | 6,704) | 3,838) | 2,561) | 2,760) | 2,947) | 1,641) | ||||||
| Solvency Ratio | |||||||||||||||||||||||||
| Debt to equity1 | 0.05 | 0.05 | 0.04 | 0.04 | 0.04 | 0.05 | 0.04 | 0.05 | 0.05 | 0.04 | 0.04 | 0.04 | 0.02 | 0.05 | 0.04 | 0.04 | 0.04 | 0.02 | 0.02 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Debt to Equity, Competitors2 | |||||||||||||||||||||||||
| AbbVie Inc. | 11.78 | 10.42 | 9.24 | 5.73 | 5.02 | 4.74 | 4.68 | 3.67 | 4.35 | 4.98 | 4.51 | 4.98 | 5.96 | 6.53 | 6.24 | — | — | — | — | ||||||
| Amgen Inc. | 8.02 | 10.57 | 12.75 | 10.37 | 7.90 | 9.08 | 11.52 | 10.64 | 10.60 | 15.10 | 40.23 | 4.97 | 4.57 | 3.98 | 3.50 | — | — | — | — | ||||||
| Bristol-Myers Squibb Co. | 2.90 | 3.08 | 3.38 | 1.35 | 1.30 | 1.18 | 1.19 | 1.27 | 1.20 | 1.29 | 1.42 | 1.24 | 1.20 | 1.23 | 1.23 | — | — | — | — | ||||||
| Danaher Corp. | 0.34 | 0.34 | 0.34 | 0.34 | 0.42 | 0.38 | 0.39 | 0.39 | 0.41 | 0.43 | 0.47 | 0.49 | 0.54 | 0.48 | 0.50 | — | — | — | — | ||||||
| Eli Lilly & Co. | 2.19 | 2.13 | 2.05 | 2.34 | 1.80 | 1.70 | 1.69 | 1.52 | 1.58 | 1.97 | 1.77 | 1.88 | 2.20 | 2.56 | 2.35 | — | — | — | — | ||||||
| Gilead Sciences Inc. | 1.26 | 1.28 | 1.44 | 1.09 | 1.12 | 1.19 | 1.20 | 1.19 | 1.20 | 1.30 | 1.32 | 1.27 | 1.29 | 1.53 | 1.59 | — | — | — | — | ||||||
| Johnson & Johnson | 0.51 | 0.58 | 0.48 | 0.43 | 0.42 | 0.61 | 0.75 | 0.52 | 0.43 | 0.43 | 0.44 | 0.46 | 0.48 | 0.48 | 0.51 | — | — | — | — | ||||||
| Merck & Co. Inc. | 0.86 | 0.87 | 0.85 | 0.93 | 0.85 | 0.95 | 0.66 | 0.67 | 0.68 | 0.73 | 0.78 | 0.87 | 0.74 | 0.80 | 1.16 | — | — | — | — | ||||||
| Pfizer Inc. | 0.73 | 0.79 | 0.75 | 0.81 | 0.66 | 0.66 | 0.36 | 0.37 | 0.40 | 0.46 | 0.44 | 0.50 | 0.53 | 0.56 | 0.58 | — | — | — | — | ||||||
| Regeneron Pharmaceuticals Inc. | 0.09 | 0.10 | 0.10 | 0.10 | 0.11 | 0.11 | 0.11 | 0.12 | 0.13 | 0.13 | 0.14 | 0.14 | 0.16 | 0.18 | 0.23 | — | — | — | — | ||||||
| Thermo Fisher Scientific Inc. | 0.72 | 0.75 | 0.78 | 0.75 | 0.78 | 0.78 | 0.83 | 0.78 | 0.67 | 0.72 | 0.81 | 0.85 | 0.56 | 0.51 | 0.53 | — | — | — | — | ||||||
| Vertex Pharmaceuticals 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 | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 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).
1 Q3 2024 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity
= 625 ÷ 11,927 = 0.05
2 Click competitor name to see calculations.
The financial data indicates notable trends in the company’s capital structure over the observed periods. The total debt shows a general upward movement from the beginning of 2020 through late 2022, rising from a relatively low base to a peak nearing 900 million US dollars. This increase is followed by a decline in total debt levels starting in early 2023, reaching approximately 575 million US dollars by the end of 2023 and maintaining a stable position close to this level through the first three quarters of 2024, with a moderate uptick to 625 million US dollars in the latest quarter.
Stockholders’ equity exhibits a strong upward trend from March 2020 through December 2021, more than tripling in value and reaching a peak of over 14 billion US dollars. This growth momentum continues into early 2022, peaking at nearly 19 billion US dollars by mid-2022, after which equity levels plateau and then experience a gradual decline throughout 2023. Into 2024, equity continues this downward trend, declining to just under 12 billion US dollars by the latest quarter.
The debt to equity ratio remains relatively low throughout the period, oscillating between 0.02 and 0.05. This stability indicates that despite fluctuations in both debt and equity amounts, the overall leverage position has been managed conservatively in relation to total equity. The ratio’s slight increases correspond with periods of rising debt, notably in late 2021 and during 2022, and a general equity decrease in 2023 and 2024, reflecting a modest increase in relative leverage.
- Total Debt
- Increased significantly from under 40 million US dollars in early 2020 to peaks around 900 million US dollars in late 2022 before reducing and stabilizing near 575 million US dollars through 2023 and early 2024.
- Stockholders’ Equity
- Experienced substantial growth from early 2020 into mid-2022, peaking at nearly 19 billion US dollars, followed by a moderate decline throughout 2023 and further reductions into early 2024.
- Debt to Equity Ratio
- Remained low and stable between 0.02 and 0.05, with slight increases corresponding to higher debt levels and decreasing equity in recent periods, indicating maintained conservative leverage.
Overall, the data suggest a phase of rapid equity growth and increased borrowing from 2020 through 2022, followed by a period of deleveraging or stabilization in debt and a reduction in equity measures. The company’s financial leverage remains modest, implying risk-averse financial management despite significant changes in capital components.
Debt to Equity (including Operating Lease Liability)
Moderna Inc., debt to equity (including operating lease liability) calculation (quarterly data)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Financing lease liabilities, non-current | 625) | 576) | 575) | 575) | 575) | 843) | 831) | 912) | 922) | 641) | 646) | 599) | 238) | 328) | 138) | 110) | 109) | 68) | 39) | ||||||
| Deferred lease obligation, non-current | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Lease financing obligation | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Total debt | 625) | 576) | 575) | 575) | 575) | 843) | 831) | 912) | 922) | 641) | 646) | 599) | 238) | 328) | 138) | 110) | 109) | 68) | 39) | ||||||
| Operating lease liabilities, non-current | 679) | 668) | 637) | 643) | 697) | 104) | 96) | 92) | 79) | 87) | 95) | 106) | 105) | 105) | 96) | 97) | 99) | 100) | 109) | ||||||
| Total debt (including operating lease liability) | 1,304) | 1,244) | 1,212) | 1,218) | 1,272) | 947) | 927) | 1,004) | 1,001) | 728) | 741) | 705) | 343) | 433) | 234) | 207) | 208) | 168) | 148) | ||||||
| Stockholders’ equity | 11,927) | 11,712) | 12,817) | 13,854) | 13,455) | 16,949) | 18,863) | 19,123) | 17,992) | 17,985) | 17,075) | 14,145) | 10,124) | 6,704) | 3,838) | 2,561) | 2,760) | 2,947) | 1,641) | ||||||
| Solvency Ratio | |||||||||||||||||||||||||
| Debt to equity (including operating lease liability)1 | 0.11 | 0.11 | 0.09 | 0.09 | 0.09 | 0.06 | 0.05 | 0.05 | 0.06 | 0.04 | 0.04 | 0.05 | 0.03 | 0.06 | 0.06 | 0.08 | 0.08 | 0.06 | 0.09 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | |||||||||||||||||||||||||
| Vertex Pharmaceuticals Inc. | 0.10 | 0.04 | 0.02 | 0.02 | 0.02 | 0.02 | 0.03 | 0.03 | 0.03 | 0.03 | 0.03 | 0.04 | 0.04 | 0.04 | 0.04 | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 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).
1 Q3 2024 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Stockholders’ equity
= 1,304 ÷ 11,927 = 0.11
2 Click competitor name to see calculations.
- Total Debt (including operating lease liability)
- The total debt exhibited an overall increasing trend from the first quarter of 2020 through the forecasted quarters in 2024. Starting at $148 million in March 2020, it rose moderately to $234 million by March 2021. A notable spike occurred in June and December 2021, reaching $433 million and $705 million respectively, suggesting significant borrowing or lease obligations during that period. Following fluctuations, the debt peaked at $1,004 million in December 2022 and although there was some variation, it remained elevated above $900 million into 2023 and early 2024, reaching $1,304 million by September 2024. This indicates an intensified leverage position over time, particularly in the latter part of the dataset.
- Stockholders’ Equity
- Stockholders’ equity showed a consistent upward trajectory from March 2020, advancing from $1,641 million to a peak of $19,123 million by December 2022. This growth indicates substantial capital accumulation or retained earnings enhancement. However, from December 2022 onwards, equity began to decline, dropping to $13,854 million by June 2024 and further declining to $11,927 million by September 2024. This reduction may point to share repurchases, dividend distributions, or losses starting to impact the equity base in the forecasted periods.
- Debt to Equity Ratio (including operating lease liability)
- The debt to equity ratio remained relatively low and stable from 2020 to early 2022, fluctuating between 0.03 and 0.09, reflecting conservative leverage relative to equity. However, starting around 2023, the ratio began a gradual increase, moving from approximately 0.05 to 0.11 by mid-2024. This indicates a rising reliance on debt financing relative to equity during the forecast period, albeit still maintaining relatively low overall leverage levels by conventional standards.
- Overall Insights
- The data demonstrates a substantial growth phase in equity concurrent with increasing total debt, suggesting an expansion period possibly fueled by both equity and debt financing up to late 2022. From late 2022 onwards, the decline in equity alongside a rising debt to equity ratio reflects a shift toward more leveraged capital structure. The increasing debt levels and decreasing equity base in 2023 and 2024 could indicate changes in financing strategy or market conditions affecting the company’s balance sheet strength. Despite rising debt, the leverage ratio remains moderate, implying a still manageable risk profile in terms of solvency.
Debt to Capital
Moderna Inc., debt to capital calculation (quarterly data)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Financing lease liabilities, non-current | 625) | 576) | 575) | 575) | 575) | 843) | 831) | 912) | 922) | 641) | 646) | 599) | 238) | 328) | 138) | 110) | 109) | 68) | 39) | ||||||
| Deferred lease obligation, non-current | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Lease financing obligation | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Total debt | 625) | 576) | 575) | 575) | 575) | 843) | 831) | 912) | 922) | 641) | 646) | 599) | 238) | 328) | 138) | 110) | 109) | 68) | 39) | ||||||
| Stockholders’ equity | 11,927) | 11,712) | 12,817) | 13,854) | 13,455) | 16,949) | 18,863) | 19,123) | 17,992) | 17,985) | 17,075) | 14,145) | 10,124) | 6,704) | 3,838) | 2,561) | 2,760) | 2,947) | 1,641) | ||||||
| Total capital | 12,552) | 12,288) | 13,392) | 14,429) | 14,030) | 17,792) | 19,694) | 20,035) | 18,914) | 18,626) | 17,721) | 14,744) | 10,362) | 7,032) | 3,976) | 2,671) | 2,868) | 3,015) | 1,680) | ||||||
| Solvency Ratio | |||||||||||||||||||||||||
| Debt to capital1 | 0.05 | 0.05 | 0.04 | 0.04 | 0.04 | 0.05 | 0.04 | 0.05 | 0.05 | 0.03 | 0.04 | 0.04 | 0.02 | 0.05 | 0.03 | 0.04 | 0.04 | 0.02 | 0.02 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Debt to Capital, Competitors2 | |||||||||||||||||||||||||
| AbbVie Inc. | 0.92 | 0.91 | 0.90 | 0.85 | 0.83 | 0.83 | 0.82 | 0.79 | 0.81 | 0.83 | 0.82 | 0.83 | 0.86 | 0.87 | 0.86 | — | — | — | — | ||||||
| Amgen Inc. | 0.89 | 0.91 | 0.93 | 0.91 | 0.89 | 0.90 | 0.92 | 0.91 | 0.91 | 0.94 | 0.98 | 0.83 | 0.82 | 0.80 | 0.78 | — | — | — | — | ||||||
| Bristol-Myers Squibb Co. | 0.74 | 0.75 | 0.77 | 0.57 | 0.56 | 0.54 | 0.54 | 0.56 | 0.54 | 0.56 | 0.59 | 0.55 | 0.55 | 0.55 | 0.55 | — | — | — | — | ||||||
| Danaher Corp. | 0.25 | 0.25 | 0.25 | 0.26 | 0.30 | 0.28 | 0.28 | 0.28 | 0.29 | 0.30 | 0.32 | 0.33 | 0.35 | 0.32 | 0.33 | — | — | — | — | ||||||
| Eli Lilly & Co. | 0.69 | 0.68 | 0.67 | 0.70 | 0.64 | 0.63 | 0.63 | 0.60 | 0.61 | 0.66 | 0.64 | 0.65 | 0.69 | 0.72 | 0.70 | — | — | — | — | ||||||
| Gilead Sciences Inc. | 0.56 | 0.56 | 0.59 | 0.52 | 0.53 | 0.54 | 0.55 | 0.54 | 0.54 | 0.56 | 0.57 | 0.56 | 0.56 | 0.60 | 0.61 | — | — | — | — | ||||||
| Johnson & Johnson | 0.34 | 0.37 | 0.32 | 0.30 | 0.30 | 0.38 | 0.43 | 0.34 | 0.30 | 0.30 | 0.31 | 0.31 | 0.33 | 0.32 | 0.34 | — | — | — | — | ||||||
| Merck & Co. Inc. | 0.46 | 0.46 | 0.46 | 0.48 | 0.46 | 0.49 | 0.40 | 0.40 | 0.41 | 0.42 | 0.44 | 0.46 | 0.42 | 0.44 | 0.54 | — | — | — | — | ||||||
| Pfizer Inc. | 0.42 | 0.44 | 0.43 | 0.45 | 0.40 | 0.40 | 0.26 | 0.27 | 0.28 | 0.32 | 0.31 | 0.33 | 0.35 | 0.36 | 0.37 | — | — | — | — | ||||||
| Regeneron Pharmaceuticals Inc. | 0.08 | 0.09 | 0.09 | 0.09 | 0.10 | 0.10 | 0.10 | 0.11 | 0.11 | 0.12 | 0.12 | 0.13 | 0.14 | 0.15 | 0.18 | — | — | — | — | ||||||
| Thermo Fisher Scientific Inc. | 0.42 | 0.43 | 0.44 | 0.43 | 0.44 | 0.44 | 0.45 | 0.44 | 0.40 | 0.42 | 0.45 | 0.46 | 0.36 | 0.34 | 0.35 | — | — | — | — | ||||||
| Vertex Pharmaceuticals 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 | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 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).
1 Q3 2024 Calculation
Debt to capital = Total debt ÷ Total capital
= 625 ÷ 12,552 = 0.05
2 Click competitor name to see calculations.
The analysis of the financial data over the presented periods reveals several noteworthy trends in the company's debt and capital structure. The total debt demonstrates a general upward trajectory from early 2020 through late 2022, increasing from $39 million in March 2020 to a peak of $922 million in September 2022. Following this peak, total debt experiences fluctuations but generally declines to $575 million by December 2023, before a slight increase to $625 million by September 2024.
Total capital shows more significant growth over the entire timeframe, starting at $1,680 million in March 2020 and rising consistently to reach a peak of $20,035 million in December 2022. After this peak, total capital decreases steadily to approximately $12,552 million by September 2024, indicating a contraction in capital levels post-2022 peak.
The debt to capital ratio remains relatively low throughout the periods analyzed, fluctuating between 0.02 and 0.05. This suggests that despite increases in debt, the company has maintained a low leverage position relative to its capital base. The ratio's minor variations indicate stability in the company's capital structure, with debt consistently representing a small fraction of overall capital.
- Total Debt
- Shows a strong upward trend from March 2020 until late 2022, more than doubling during this period, followed by a modest reduction afterwards.
- Total Capital
- Exhibits substantial growth through 2022, past $20 billion, followed by a notable decline in 2023 and into 2024.
- Debt to Capital Ratio
- Remains low and stable, fluctuating narrowly between 2% and 5%, indicating conservative leverage management relative to total capital.
Overall, the data reflects a phase of aggressive capital accumulation up to late 2022, accompanied by increased debt levels, albeit small relative to capital. The subsequent period shows a deliberate reduction in capital and a stabilization in debt, suggesting strategic adjustments to the financial structure, possibly to reduce risk or optimize capital deployment. The consistent low debt to capital ratio indicates that the company's financial strategy prioritizes maintaining strong balance sheet resilience.
Debt to Capital (including Operating Lease Liability)
Moderna Inc., debt to capital (including operating lease liability) calculation (quarterly data)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Financing lease liabilities, non-current | 625) | 576) | 575) | 575) | 575) | 843) | 831) | 912) | 922) | 641) | 646) | 599) | 238) | 328) | 138) | 110) | 109) | 68) | 39) | ||||||
| Deferred lease obligation, non-current | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Lease financing obligation | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Total debt | 625) | 576) | 575) | 575) | 575) | 843) | 831) | 912) | 922) | 641) | 646) | 599) | 238) | 328) | 138) | 110) | 109) | 68) | 39) | ||||||
| Operating lease liabilities, non-current | 679) | 668) | 637) | 643) | 697) | 104) | 96) | 92) | 79) | 87) | 95) | 106) | 105) | 105) | 96) | 97) | 99) | 100) | 109) | ||||||
| Total debt (including operating lease liability) | 1,304) | 1,244) | 1,212) | 1,218) | 1,272) | 947) | 927) | 1,004) | 1,001) | 728) | 741) | 705) | 343) | 433) | 234) | 207) | 208) | 168) | 148) | ||||||
| Stockholders’ equity | 11,927) | 11,712) | 12,817) | 13,854) | 13,455) | 16,949) | 18,863) | 19,123) | 17,992) | 17,985) | 17,075) | 14,145) | 10,124) | 6,704) | 3,838) | 2,561) | 2,760) | 2,947) | 1,641) | ||||||
| Total capital (including operating lease liability) | 13,231) | 12,956) | 14,029) | 15,072) | 14,727) | 17,896) | 19,790) | 20,127) | 18,993) | 18,713) | 17,816) | 14,850) | 10,467) | 7,137) | 4,072) | 2,769) | 2,967) | 3,115) | 1,789) | ||||||
| Solvency Ratio | |||||||||||||||||||||||||
| Debt to capital (including operating lease liability)1 | 0.10 | 0.10 | 0.09 | 0.08 | 0.09 | 0.05 | 0.05 | 0.05 | 0.05 | 0.04 | 0.04 | 0.05 | 0.03 | 0.06 | 0.06 | 0.07 | 0.07 | 0.05 | 0.08 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | |||||||||||||||||||||||||
| Vertex Pharmaceuticals Inc. | 0.09 | 0.04 | 0.02 | 0.02 | 0.02 | 0.02 | 0.03 | 0.03 | 0.03 | 0.03 | 0.03 | 0.04 | 0.04 | 0.04 | 0.04 | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 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).
1 Q3 2024 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 1,304 ÷ 13,231 = 0.10
2 Click competitor name to see calculations.
The financial data reveals several notable trends concerning the company's debt structure and capital base over multiple quarters.
- Total Debt (Including Operating Lease Liability)
- The total debt exhibited a fluctuating but generally increasing trend over the observed periods. Starting at $148 million at the end of Q1 2020, debt rose sharply to $705 million by Q4 2021. This growth continued, peaking around $1 billion in late 2022, before showing some variability around the $1.2 to $1.3 billion range in 2023 and early 2024. This pattern indicates a significant increase in leverage over the years, with some occasional decreases indicating potential repayments or adjustments.
- Total Capital (Including Operating Lease Liability)
- The total capital similarly showed growth, expanding from $1.8 billion at the end of Q1 2020 to a peak of roughly $20.1 billion by Q4 2022. However, following this peak, total capital decreased steadily through 2023 and into early 2024, reaching approximately $13.2 billion by Q3 2024. This decline after 2022 may reflect capital structure changes, such as asset reductions, stock repurchases, or other capital adjustments.
- Debt to Capital Ratio (Including Operating Lease Liability)
- The ratio of debt to capital remained relatively low overall, fluctuating between 0.03 and 0.1. Initially, it stayed below 0.1 during early periods, indicating a conservative leverage position relative to capital. Starting from mid-2023, the ratio increased closer to 0.1, suggesting a moderate rise in leverage compared to capital base. Despite rising absolute debt levels, the ratio's containment below 0.1 through most of the timeline suggests the company maintained a relatively balanced capital structure without aggressive leveraging.
In summary, the data portrays a company that increased its total debt significantly since early 2020, accompanied by a corresponding rise and then a decline in total capital. Despite these shifts, the overall debt to capital ratio indicates the company maintained a conservative leverage profile throughout the observed timeline, with some upward pressure on leverage in recent quarters. The trends could reflect strategic capital management decisions in response to operational needs or market conditions.
Debt to Assets
Moderna Inc., debt to assets calculation (quarterly data)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Financing lease liabilities, non-current | 625) | 576) | 575) | 575) | 575) | 843) | 831) | 912) | 922) | 641) | 646) | 599) | 238) | 328) | 138) | 110) | 109) | 68) | 39) | ||||||
| Deferred lease obligation, non-current | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Lease financing obligation | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Total debt | 625) | 576) | 575) | 575) | 575) | 843) | 831) | 912) | 922) | 641) | 646) | 599) | 238) | 328) | 138) | 110) | 109) | 68) | 39) | ||||||
| Total assets | 15,803) | 15,680) | 16,729) | 18,426) | 19,450) | 21,884) | 24,125) | 25,858) | 26,056) | 26,043) | 27,609) | 24,669) | 20,923) | 16,153) | 12,694) | 7,337) | 4,651) | 3,486) | 2,068) | ||||||
| Solvency Ratio | |||||||||||||||||||||||||
| Debt to assets1 | 0.04 | 0.04 | 0.03 | 0.03 | 0.03 | 0.04 | 0.03 | 0.04 | 0.04 | 0.02 | 0.02 | 0.02 | 0.01 | 0.02 | 0.01 | 0.01 | 0.02 | 0.02 | 0.02 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Debt to Assets, Competitors2 | |||||||||||||||||||||||||
| AbbVie Inc. | 0.50 | 0.50 | 0.50 | 0.44 | 0.45 | 0.45 | 0.46 | 0.46 | 0.49 | 0.51 | 0.51 | 0.52 | 0.54 | 0.56 | 0.57 | — | — | — | — | ||||||
| Amgen Inc. | 0.66 | 0.69 | 0.69 | 0.67 | 0.67 | 0.68 | 0.69 | 0.60 | 0.61 | 0.62 | 0.62 | 0.54 | 0.58 | 0.55 | 0.52 | — | — | — | — | ||||||
| Bristol-Myers Squibb Co. | 0.53 | 0.55 | 0.56 | 0.42 | 0.41 | 0.40 | 0.40 | 0.41 | 0.40 | 0.42 | 0.44 | 0.41 | 0.40 | 0.41 | 0.41 | — | — | — | — | ||||||
| Danaher Corp. | 0.22 | 0.22 | 0.22 | 0.22 | 0.25 | 0.23 | 0.23 | 0.23 | 0.24 | 0.25 | 0.26 | 0.27 | 0.29 | 0.26 | 0.27 | — | — | — | — | ||||||
| Eli Lilly & Co. | 0.41 | 0.40 | 0.41 | 0.39 | 0.35 | 0.34 | 0.36 | 0.33 | 0.33 | 0.36 | 0.35 | 0.35 | 0.35 | 0.35 | 0.35 | — | — | — | — | ||||||
| Gilead Sciences Inc. | 0.43 | 0.44 | 0.45 | 0.40 | 0.40 | 0.40 | 0.41 | 0.40 | 0.40 | 0.42 | 0.42 | 0.39 | 0.41 | 0.44 | 0.45 | — | — | — | — | ||||||
| Johnson & Johnson | 0.20 | 0.23 | 0.20 | 0.18 | 0.18 | 0.24 | 0.27 | 0.21 | 0.18 | 0.18 | 0.19 | 0.19 | 0.19 | 0.19 | 0.19 | — | — | — | — | ||||||
| Merck & Co. Inc. | 0.32 | 0.34 | 0.32 | 0.33 | 0.33 | 0.35 | 0.29 | 0.28 | 0.28 | 0.30 | 0.30 | 0.31 | 0.28 | 0.29 | 0.34 | — | — | — | — | ||||||
| Pfizer Inc. | 0.31 | 0.32 | 0.31 | 0.32 | 0.30 | 0.30 | 0.18 | 0.18 | 0.19 | 0.21 | 0.20 | 0.21 | 0.22 | 0.23 | 0.25 | — | — | — | — | ||||||
| Regeneron Pharmaceuticals Inc. | 0.07 | 0.07 | 0.08 | 0.08 | 0.08 | 0.09 | 0.09 | 0.09 | 0.10 | 0.10 | 0.10 | 0.11 | 0.11 | 0.13 | 0.15 | — | — | — | — | ||||||
| Thermo Fisher Scientific Inc. | 0.35 | 0.36 | 0.37 | 0.35 | 0.36 | 0.36 | 0.37 | 0.35 | 0.32 | 0.33 | 0.36 | 0.37 | 0.29 | 0.28 | 0.28 | — | — | — | — | ||||||
| Vertex Pharmaceuticals 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 | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 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).
1 Q3 2024 Calculation
Debt to assets = Total debt ÷ Total assets
= 625 ÷ 15,803 = 0.04
2 Click competitor name to see calculations.
- Total Debt
- The total debt of the company shows a general increasing trend from early 2020 through the end of 2022, rising from $39 million to a peak of $922 million in the third quarter of 2022. Following this peak, the debt decreases notably to $575 million by the end of 2023 and stabilizes near that level through mid-2024, with a slight uptick to $625 million by the third quarter of 2024.
- Total Assets
- Total assets exhibit a strong upward trajectory from about $2.1 billion at the end of the first quarter of 2020 to a peak of $27.6 billion in the first quarter of 2022. After reaching this peak, assets gradually decline to $15.8 billion by the third quarter of 2024, reflecting a sustained reduction over nearly three years.
- Debt to Assets Ratio
- The debt to assets ratio remains consistently very low across the entire period, fluctuating roughly between 0.01 and 0.04. This indicates that despite varying absolute debt levels and significant changes in asset size, the company has maintained a relatively low proportion of debt in relation to its assets. The ratio peaks somewhat in late 2022 and 2023 around 0.04 and then remains stable at that level through mid-2024.
- Overall Analysis
- The financial data reveal a period of substantial asset growth through early 2022, followed by a consistent decline in total assets in subsequent quarters. Simultaneously, the company's total debt increased until late 2022 and then decreased, settling at levels moderately higher than those seen in early 2020. The low debt to assets ratio throughout suggests prudent leverage management. The trends imply a phase of expansion possibly through investment or acquisitions until early 2022, followed by asset reduction or divestment. The moderate rise and then stabilization of debt might reflect efforts to optimize capital structure amid changing asset levels.
Debt to Assets (including Operating Lease Liability)
Moderna Inc., debt to assets (including operating lease liability) calculation (quarterly data)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Financing lease liabilities, non-current | 625) | 576) | 575) | 575) | 575) | 843) | 831) | 912) | 922) | 641) | 646) | 599) | 238) | 328) | 138) | 110) | 109) | 68) | 39) | ||||||
| Deferred lease obligation, non-current | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Lease financing obligation | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Total debt | 625) | 576) | 575) | 575) | 575) | 843) | 831) | 912) | 922) | 641) | 646) | 599) | 238) | 328) | 138) | 110) | 109) | 68) | 39) | ||||||
| Operating lease liabilities, non-current | 679) | 668) | 637) | 643) | 697) | 104) | 96) | 92) | 79) | 87) | 95) | 106) | 105) | 105) | 96) | 97) | 99) | 100) | 109) | ||||||
| Total debt (including operating lease liability) | 1,304) | 1,244) | 1,212) | 1,218) | 1,272) | 947) | 927) | 1,004) | 1,001) | 728) | 741) | 705) | 343) | 433) | 234) | 207) | 208) | 168) | 148) | ||||||
| Total assets | 15,803) | 15,680) | 16,729) | 18,426) | 19,450) | 21,884) | 24,125) | 25,858) | 26,056) | 26,043) | 27,609) | 24,669) | 20,923) | 16,153) | 12,694) | 7,337) | 4,651) | 3,486) | 2,068) | ||||||
| Solvency Ratio | |||||||||||||||||||||||||
| Debt to assets (including operating lease liability)1 | 0.08 | 0.08 | 0.07 | 0.07 | 0.07 | 0.04 | 0.04 | 0.04 | 0.04 | 0.03 | 0.03 | 0.03 | 0.02 | 0.03 | 0.02 | 0.03 | 0.04 | 0.05 | 0.07 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | |||||||||||||||||||||||||
| Vertex Pharmaceuticals Inc. | 0.07 | 0.03 | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.03 | 0.03 | 0.03 | 0.03 | 0.03 | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 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).
1 Q3 2024 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 1,304 ÷ 15,803 = 0.08
2 Click competitor name to see calculations.
The analysis of the financial data reveals several key trends related to debt levels, asset base, and leverage ratios over multiple quarters.
- Total Debt (including operating lease liability)
- The total debt shows a general upward trend from early 2020 through 2024, starting at US$148 million in March 2020 and increasing to over US$1.3 billion by September 2024. Notably, there are periods of rapid increase such as between March 2021 and December 2021, where debt rose sharply from US$234 million to US$705 million. The debt level fluctuates somewhat in 2022 and early 2023 but then resumes its growth trend toward the end of the period.
- Total Assets
- Total assets expanded significantly from US$2.1 billion in March 2020 to a peak of approximately US$27.6 billion in March 2022. After this peak, total assets gradually decline over the subsequent quarters, reaching around US$15.8 billion by September 2024. This indicates a contraction or asset divestiture phase following the earlier expansion phase.
- Debt to Assets Ratio (including operating lease liability)
- The debt to assets ratio exhibits a declining trend from early 2020 to early 2021, moving from 0.07 to a low of about 0.02-0.03, indicating reduced leverage amid asset growth. From 2021 onward, the ratio stabilizes but then begins a gradual increase starting in 2023, reaching approximately 0.08 by September 2024. This increase in leverage ratio is consistent with rising debt levels combined with declining total assets in the later period.
In summary, the company underwent a phase of strong asset growth coupled with relatively modest debt increases in the initial years. This was followed by a period of notable debt accumulation and asset contraction, leading to a gradual increase in leverage. The rising debt to assets ratio in the most recent quarters may warrant attention regarding the firm's financial risk and capital structure management going forward.
Financial Leverage
Moderna Inc., financial leverage calculation (quarterly data)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Total assets | 15,803) | 15,680) | 16,729) | 18,426) | 19,450) | 21,884) | 24,125) | 25,858) | 26,056) | 26,043) | 27,609) | 24,669) | 20,923) | 16,153) | 12,694) | 7,337) | 4,651) | 3,486) | 2,068) | ||||||
| Stockholders’ equity | 11,927) | 11,712) | 12,817) | 13,854) | 13,455) | 16,949) | 18,863) | 19,123) | 17,992) | 17,985) | 17,075) | 14,145) | 10,124) | 6,704) | 3,838) | 2,561) | 2,760) | 2,947) | 1,641) | ||||||
| Solvency Ratio | |||||||||||||||||||||||||
| Financial leverage1 | 1.32 | 1.34 | 1.31 | 1.33 | 1.45 | 1.29 | 1.28 | 1.35 | 1.45 | 1.45 | 1.62 | 1.74 | 2.07 | 2.41 | 3.31 | 2.86 | 1.69 | 1.18 | 1.26 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Financial Leverage, Competitors2 | |||||||||||||||||||||||||
| AbbVie Inc. | 23.78 | 20.94 | 18.59 | 13.00 | 11.26 | 10.52 | 10.14 | 8.04 | 8.84 | 9.77 | 8.80 | 9.51 | 10.99 | 11.77 | 10.98 | — | — | — | — | ||||||
| Amgen Inc. | 12.07 | 15.34 | 18.51 | 15.59 | 11.83 | 13.31 | 16.59 | 17.79 | 17.44 | 24.51 | 64.62 | 9.13 | 7.91 | 7.25 | 6.70 | — | — | — | — | ||||||
| Bristol-Myers Squibb Co. | 5.46 | 5.56 | 6.01 | 3.23 | 3.15 | 2.92 | 2.96 | 3.12 | 3.01 | 3.08 | 3.26 | 3.04 | 2.98 | 3.01 | 2.99 | — | — | — | — | ||||||
| Danaher Corp. | 1.57 | 1.57 | 1.56 | 1.58 | 1.67 | 1.64 | 1.65 | 1.68 | 1.72 | 1.76 | 1.80 | 1.84 | 1.90 | 1.82 | 1.87 | — | — | — | — | ||||||
| Eli Lilly & Co. | 5.31 | 5.30 | 4.99 | 5.94 | 5.16 | 4.95 | 4.75 | 4.65 | 4.71 | 5.51 | 5.03 | 5.44 | 6.21 | 7.42 | 6.79 | — | — | — | — | ||||||
| Gilead Sciences Inc. | 2.95 | 2.93 | 3.21 | 2.72 | 2.80 | 2.95 | 2.95 | 2.97 | 2.97 | 3.11 | 3.17 | 3.23 | 3.13 | 3.45 | 3.56 | — | — | — | — | ||||||
| Johnson & Johnson | 2.54 | 2.53 | 2.46 | 2.44 | 2.33 | 2.55 | 2.77 | 2.44 | 2.35 | 2.33 | 2.39 | 2.46 | 2.55 | 2.54 | 2.62 | — | — | — | — | ||||||
| Merck & Co. Inc. | 2.64 | 2.58 | 2.62 | 2.84 | 2.59 | 2.70 | 2.30 | 2.37 | 2.41 | 2.48 | 2.61 | 2.77 | 2.61 | 2.72 | 3.37 | — | — | — | — | ||||||
| Pfizer Inc. | 2.38 | 2.47 | 2.40 | 2.54 | 2.22 | 2.22 | 1.94 | 2.06 | 2.10 | 2.24 | 2.23 | 2.35 | 2.37 | 2.43 | 2.31 | — | — | — | — | ||||||
| Regeneron Pharmaceuticals Inc. | 1.28 | 1.28 | 1.27 | 1.27 | 1.29 | 1.28 | 1.28 | 1.29 | 1.29 | 1.32 | 1.32 | 1.36 | 1.37 | 1.42 | 1.48 | — | — | — | — | ||||||
| Thermo Fisher Scientific Inc. | 2.05 | 2.08 | 2.13 | 2.11 | 2.14 | 2.15 | 2.24 | 2.21 | 2.08 | 2.14 | 2.26 | 2.33 | 1.90 | 1.84 | 1.88 | — | — | — | — | ||||||
| Vertex Pharmaceuticals Inc. | 1.42 | 1.36 | 1.29 | 1.29 | 1.32 | 1.32 | 1.31 | 1.30 | 1.28 | 1.31 | 1.31 | 1.33 | 1.32 | 1.33 | 1.35 | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 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).
1 Q3 2024 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity
= 15,803 ÷ 11,927 = 1.32
2 Click competitor name to see calculations.
The financial data indicates that the total assets experienced substantial growth beginning in early 2020, rising from US$2,068 million at the end of March 2020 to a peak of US$27,609 million by the end of March 2022. Following this peak, total assets declined gradually over the subsequent quarters, reaching approximately US$15,803 million by the end of September 2024. This trend suggests an initial rapid expansion phase followed by asset base contraction or stabilization at a lower level.
Stockholders’ equity also demonstrated significant growth through early periods, increasing from US$1,641 million at the end of March 2020 to a peak of around US$19,123 million at the end of December 2022. However, after this peak, equity decreased progressively, declining to approximately US$11,927 million by the end of September 2024. This reduction in stockholders’ equity concurrent with the decline in total assets reflects potential capital restructuring, dividend payments, losses, or other equity-related transactions over the latter part of the observed timeframe.
The financial leverage ratio, defined as total assets divided by stockholders’ equity, displayed notable fluctuations throughout the periods. Initially, leverage decreased slightly from 1.26 to 1.18 between March and June 2020, then increased considerably reaching a high of 3.31 by March 2021. This high leverage indicates that assets were largely funded through liabilities during this period. Subsequently, leverage decreased steadily, stabilizing around values between 1.28 and 1.45 from late 2021 through mid-2023, indicative of a balanced financing structure. Towards the final quarters, leverage hovered between 1.31 and 1.34, signaling relative stability in the capital structure.
In summary, the data reveals a phase of rapid asset and equity growth during 2020 and early 2021, correlated with elevated financial leverage, followed by a contraction in assets and equity accompanied by reduced leverage levels. The patterns suggest active management of capital structure and asset base possibly in response to external market or operational factors over the analyzed periods.