Ford Motor Co. (NYSE:F)

Debt to Equity Ratio

The debt to equity ratio shows a declining trend from early 2021, moving from 4.51 down to a low of 2.85 by December 2021. Following this, it rises again gradually and becomes relatively stable, fluctuating between approximately 3.2 and 3.55 from 2022 through the forecasted quarters into 2025. This indicates an initial deleveraging followed by a period of relatively stable leverage levels with moderate fluctuations.

Debt to Capital Ratio

The debt to capital ratio similarly decreases from 0.82 in the first quarter of 2021 to 0.74 by the end of 2021. Subsequently, it remains mostly stable, hovering around 0.75 to 0.78 throughout 2022 to 2025. This suggests a consistent capital structure with debt making up approximately three-quarters of the total capital in recent periods and projected quarters.

Debt to Assets Ratio

This ratio experiences a modest decline from 0.59 to 0.54 between the first quarter of 2021 and the end of 2021, indicating a reduction in leverage relative to total assets. Beyond 2021, the ratio oscillates narrowly around the mid-0.5 range, indicating that debt constitutes a little more than half of total assets and that this proportion remains steady over time.

Financial Leverage Ratio

The financial leverage ratio follows a declining path through 2021, dropping significantly from 7.71 to roughly 5.3 by year-end 2021. Post-2021, it gradually increases and stabilizes in the range of approximately 6.0 to 6.5, maintaining this level through to the projected periods by the end of 2025. This pattern indicates the company initially reduced leverage but later increased it moderately while maintaining a stable leverage profile thereafter.

Interest Coverage Ratio

The interest coverage ratio demonstrates considerable volatility across the examined period. It starts near 3.1 in early 2021 and declines to 2.5 by September 2021, before spiking sharply to 10.86 in the final quarter of 2021. The ratio remains elevated but variable in 2022, then drops to a negative value (-1.4) in December 2022, signaling potential difficulties in covering interest expenses in that quarter. Subsequently, it recovers to moderate coverage levels between about 3.4 to 7.5 from 2023 through the projections of 2025. This variability suggests fluctuating profitability or earnings before interest, taxes, depreciation, and amortization (EBITDA) relative to interest obligations, with a notable period of operational or financial stress in late 2022.

Total debt

The total debt exhibited a general downward trend from March 31, 2021, to June 30, 2022, decreasing from approximately $152.7 billion to $128.8 billion. This was followed by a period of relative stability and slight increases through December 31, 2022. Starting in early 2023, total debt again displayed a gradual upward trajectory, rising to approximately $162.0 billion by September 30, 2025. The data suggest a phase of debt reduction succeeded by renewed borrowing or refinancing activities, possibly reflecting changing financing needs or strategic adjustments.

Equity attributable to Ford Motor Company

Equity values showed moderate growth over the entire period, beginning at around $33.8 billion on March 31, 2021, and reaching approximately $47.4 billion by September 30, 2025. Notable fluctuations occurred, including a peak at nearly $48.5 billion at the end of 2021, followed by a decline and subsequent oscillations. The general upward trend in equity suggests ongoing capital accumulation or retained earnings growth, though periodic decreases indicate possible dividend payments, share repurchases, or other equity adjustments.

Debt to equity ratio

The debt to equity ratio declined significantly from 4.51 on March 31, 2021, to a trough of about 2.85 by the end of 2021, indicating a reduction in leverage relative to equity during that period. Since early 2022, this ratio stabilized around levels between 3.0 and 3.5, demonstrating a moderate increase in leverage compared to the trough but still below initial highs. The ratio’s relative stability in later periods points to management’s efforts to maintain a balanced capital structure despite fluctuations in debt and equity components.

Overall financial posture

The data indicate that the entity undertook a significant deleveraging phase through 2021, characterized by decreasing total debt and increasing equity, leading to a lowering of the debt to equity ratio. However, from 2022 onwards, total debt started rising again, while equity showed steady but slower growth, resulting in a gradual increase in the leverage ratio. This pattern reflects a cautious but flexible approach to capital management, balancing growth financing needs with risk considerations. The maintenance of a debt to equity ratio around 3.3 suggests a moderate reliance on debt financing relative to equity throughout most of the period.

Total Debt

The total debt showed a declining trend from March 2021 to December 2021, dropping from approximately $152.7 billion to $138.1 billion. This reduction continued into mid-2022, reaching about $128.3 billion in September 2022. However, starting in late 2022, the total debt began to rise again, increasing from around $139 billion in December 2022 to $149.4 billion by June 2024. The upward trend in debt persisted into 2025, with total debt peaking at approximately $161.9 billion in September 2025.

Total Capital

Total capital exhibited fluctuations over the observed periods. After a decline from $186.5 billion in March 2021 to about $170.5 billion in September 2022, it experienced a recovery phase, increasing to over $201.5 billion in March 2025. The trend reflects some volatility but with an overall upward movement in the latter periods, particularly from late 2022 into 2025.

Debt to Capital Ratio

The debt to capital ratio progressively decreased from 0.82 in March 2021 to 0.74 by December 2021, indicating a reduction in leverage relative to capital. Around early 2022, the ratio stabilized near the 0.75 mark before gradually rising towards 0.78 from late 2022 onwards. Throughout 2024 and into 2025, the ratio remained relatively constant, fluctuating narrowly around 0.77 to 0.78, suggesting a sustained level of leverage in relation to total capital.

Overall Analysis

The data reveals an initial strategy of debt reduction and deleveraging through 2021, followed by a phase of increased borrowing starting in late 2022. Total capital mirrored these movements, with a dip through mid-2022 and a significant rebound thereafter. The debt to capital ratio reflects these dynamics by decreasing initially but stabilizing and slightly increasing in more recent periods. This pattern may suggest a shift in capital structure strategy, balancing growth or investment activities with leverage management.

Total Debt

The total debt shows a generally fluctuating pattern over the observed periods. Initially, the debt decreased from approximately 152.7 billion USD at the end of Q1 2021 to around 128.3 billion USD by Q3 2022. This decline indicates a period of debt reduction. However, starting from Q4 2022, total debt began to rise again, reaching about 161.9 billion USD by Q3 2025. This increase suggests renewed borrowing or financing activities in the later periods.

Total Assets

Total assets display a steady upward trend throughout the entire span. Beginning at roughly 260.8 billion USD in Q1 2021, assets decreased marginally in the first half of 2021 but resumed growth starting Q3 2021. By Q3 2025, assets reached approximately 301.0 billion USD. This steady increase suggests ongoing investments and asset accumulation, reflecting expansion or enhanced asset management.

Debt to Assets Ratio

The debt to assets ratio exhibited a declining trend from 0.59 in Q1 2021 down to approximately 0.52 by mid-2022, implying improved leverage and reduced financial risk during that interval. From Q3 2022 onwards, the ratio stabilized between 0.54 and 0.56, reflecting a relatively consistent leverage level despite fluctuations in absolute debt and asset values. The ratio remaining close to 0.54 towards Q3 2025 indicates moderate and stable leverage in the recent periods.

Summary of Financial Trends

Overall, the company has managed to steadily increase its total assets over time while total debt initially declined but later increased again. Despite this, the debt to assets ratio suggests that the company maintains a moderate leverage position, having improved leverage in the first half of the period and stabilizing it thereafter. The pattern indicates balanced financial management with a capacity to grow assets and manage debt levels responsibly.

The analysis of the quarterly financial data reveals various notable trends over the examined periods.

Total Assets

Total assets exhibit some fluctuations but demonstrate an overall upward trajectory across the quarters. Starting at approximately 260.8 billion US dollars in the first quarter of 2021, total assets experienced a slight decline during the mid-2021 periods, reaching a low point around 245.8 billion by June 2022. From that point onward, total assets steadily increased, reaching a peak near 301.0 billion US dollars by the first quarter of 2025. This trend indicates ongoing asset growth over the long term despite short-term variations.

Equity Attributable to Ford Motor Company

Equity attributable to the company showed significant variability. Initially, equity rose gradually from about 33.8 billion US dollars in the first quarter of 2021 to a peak of approximately 48.5 billion at the end of 2021. Following this peak, equity steadily declined through late 2022, reaching roughly 42.1 billion by September 2022. Subsequently, equity values remained relatively stable with modest fluctuations ranging between approximately 42.8 billion and 44.8 billion through mid-2025. This pattern reflects a period of equity expansion followed by a contraction and stabilization.

Financial Leverage Ratio

The financial leverage ratio decreased significantly from 7.71 in the first quarter of 2021 to the lowest observed value of 5.30 at the end of 2021. After this low point, the ratio increased again, stabilizing in a range between approximately 6.0 and 6.5 from 2022 through mid-2025. This indicates a reduction in leverage during 2021, followed by moderate leverage levels that maintained relative consistency over the subsequent quarters.

In summary, total assets have shown a growth trend with some short-term declines, equity experienced a peak near the end of 2021 followed by flattening with minor fluctuations, and financial leverage demonstrated an initial reduction followed by a period of moderate stability. These trends suggest a strengthening asset base accompanied by evolving equity levels and a relatively balanced approach to leverage management over the analyzed timeframe.