Stock Analysis on Net
Stock Analysis on Net

Albemarle Corp. (NYSE:ALB)

This company has been moved to the archive! The financial data has not been updated since May 3, 2023.

Debt to Equity
since 2005

Microsoft Excel

Calculation

Albemarle Corp., debt to equity, long-term trends, calculation

Microsoft Excel
Debt to equity = Long-term debt, including current portion1 ÷ Total Albemarle Corporation shareholders’ equity1
Dec 31, 2022 0.40 = 3,217,100 ÷ 7,982,627
Dec 31, 2021 0.43 = 2,394,239 ÷ 5,625,266
Dec 31, 2020 0.84 = 3,572,058 ÷ 4,268,227
Dec 31, 2019 0.78 = 3,050,257 ÷ 3,932,250
Dec 31, 2018 0.48 = 1,705,210 ÷ 3,585,321
Dec 31, 2017 0.50 = 1,837,372 ÷ 3,674,549
Dec 31, 2016 0.62 = 2,369,262 ÷ 3,795,062
Dec 31, 2015 1.18 = 3,852,019 ÷ 3,254,392
Dec 31, 2014 2.16 = 2,934,131 ÷ 1,359,465
Dec 31, 2013 0.66 = 1,078,864 ÷ 1,627,361
Dec 31, 2012 0.38 = 699,288 ÷ 1,833,598
Dec 31, 2011 0.48 = 763,673 ÷ 1,591,277
Dec 31, 2010 0.61 = 860,910 ÷ 1,416,074
Dec 31, 2009 0.67 = 812,713 ÷ 1,205,696
Dec 31, 2008 0.87 = 932,264 ÷ 1,065,771
Dec 31, 2007 0.57 = 723,938 ÷ 1,278,305
Dec 31, 2006 0.71 = 732,590 ÷ 1,028,098
Dec 31, 2005 0.90 = 833,453 ÷ 930,275

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), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

1 US$ in thousands

The financial trajectory between 2005 and 2022 is characterized by distinct cycles of leverage expansion and subsequent deleveraging, underpinned by a long-term growth in shareholders' equity.

Long-Term Debt Trends
Debt levels remained relatively stable between 2005 and 2012, fluctuating between approximately $699 million and $932 million. A period of aggressive borrowing began in 2013, with debt escalating rapidly to $2.93 billion in 2014 and peaking at $3.85 billion in 2015. Following this peak, a deleveraging phase occurred, bringing debt down to $1.71 billion by 2018. A second wave of borrowing was observed from 2019 to 2020, reaching $3.57 billion, before settling at $3.22 billion by the end of 2022.
Shareholders' Equity Growth
Total equity exhibited a consistent long-term upward trend. Starting at $930 million in 2005, equity grew steadily to $1.83 billion by 2012. After a brief contraction in 2013 and 2014, equity expanded significantly, surpassing $3 billion in 2015 and accelerating to a period high of $7.98 billion by 2022. This growth in the equity base has served as a critical buffer against the fluctuations in long-term debt.
Debt-to-Equity Ratio Analysis
The debt-to-equity ratio demonstrates high volatility during the middle of the analyzed period but suggests overall financial stability at the endpoints. The ratio declined from 0.90 in 2005 to a low of 0.38 in 2012. A sharp divergence occurred in 2014, where the ratio spiked to 2.16, representing the period's peak leverage. This was followed by a rapid correction, with the ratio returning to 0.62 by 2016 and 0.48 by 2018. Despite subsequent increases in total debt, the simultaneous growth in equity kept the ratio managed, ending the period at 0.40 in 2022.

The analysis indicates that while the organization has utilized significant debt for strategic purposes at various intervals, the aggressive expansion of the equity base has effectively lowered the long-term risk profile, resulting in a final leverage position similar to the lows observed a decade prior.

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Comparison to Competitors

Albemarle Corp., debt to equity, long-term trends, comparison to competitors

Microsoft Excel
Albemarle Corp. Linde plc Sherwin-Williams Co.
Dec 31, 2022 0.40 0.45 3.41
Dec 31, 2021 0.43 0.32 3.95
Dec 31, 2020 0.84 0.34 2.30
Dec 31, 2019 0.78 0.28 2.11
Dec 31, 2018 0.48 0.30 2.50
Dec 31, 2017 0.50 1.50 2.85
Dec 31, 2016 0.62 1.90 1.04
Dec 31, 2015 1.18 2.10 2.26
Dec 31, 2014 2.16 1.65 1.81
Dec 31, 2013 0.66 1.33 0.97
Dec 31, 2012 0.38 1.21 0.95
Dec 31, 2011 0.48 1.20 0.65
Dec 31, 2010 0.61 0.96 0.65
Dec 31, 2009 0.67 0.95 0.55
Dec 31, 2008 0.87 1.25 0.52
Dec 31, 2007 0.57 0.82 0.54
Dec 31, 2006 0.71 0.70 0.44
Dec 31, 2005 0.90 0.88 0.36

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), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

Comparison to Sector (Chemicals)

Albemarle Corp., debt to equity, long-term trends, comparison to sector (chemicals)

Microsoft Excel
Albemarle Corp. Chemicals
Dec 31, 2022 0.40 0.66
Dec 31, 2021 0.43 0.51
Dec 31, 2020 0.84 0.48
Dec 31, 2019 0.78 0.43
Dec 31, 2018 0.48 0.45
Dec 31, 2017 0.50 2.01
Dec 31, 2016 0.62 1.66
Dec 31, 2015 1.18 2.13
Dec 31, 2014 2.16 1.67
Dec 31, 2013 0.66 1.26
Dec 31, 2012 0.38 1.15
Dec 31, 2011 0.48 1.08
Dec 31, 2010 0.61 0.89
Dec 31, 2009 0.67 0.86
Dec 31, 2008 0.87 1.04
Dec 31, 2007 0.57 0.74
Dec 31, 2006 0.71 0.62
Dec 31, 2005 0.90 0.72

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), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

Comparison to Industry (Materials)

Albemarle Corp., debt to equity, long-term trends, comparison to industry (materials)

Microsoft Excel
Albemarle Corp. Materials
Dec 31, 2022 0.40 0.67
Dec 31, 2021 0.43 0.55
Dec 31, 2020 0.84 0.56
Dec 31, 2019 0.78 0.52
Dec 31, 2018 0.48 0.55
Dec 31, 2017 0.50 1.85
Dec 31, 2016 0.62 2.12
Dec 31, 2015 1.18 2.42
Dec 31, 2014 2.16 1.21
Dec 31, 2013 0.66 1.07
Dec 31, 2012 0.38 0.50
Dec 31, 2011 0.48 0.49
Dec 31, 2010 0.61 0.57
Dec 31, 2009 0.67 0.77
Dec 31, 2008 0.87 1.16
Dec 31, 2007 0.57 0.49
Dec 31, 2006 0.71 0.53
Dec 31, 2005 0.90 0.71

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), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).