ARRYCAUTIOUS

ARRY Debt-to-Equity Ratio Analysis

2.85x

Higher than 94% of Energy sector peers

Updated 2237h ago·SEC filings & market data

Key Takeaway

Array Technologies’ debt-to-equity ratio of 2.85x means the company uses $2.85 of debt for every $1 of shareholders’ equity, indicating a high reliance on borrowing to finance its operations.

Sector Performance

94th percentile

ARRY

2.85x

Sector Median

0.62x

Sector Avg

0.85x

Prior Period

0.40x(May 2026)

↓ Declining

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Deep Analysis

Array Technologies’ debt-to-equity ratio of 2.85x means the company uses $2.85 of debt for every $1 of shareholders’ equity, indicating a high reliance on borrowing to finance its operations.

This level is far above the sector median of 0.76x, placing Array in the 91st percentile among energy peers, meaning it carries substantially more leverage than most comparable companies. Because year-over-year and quarter-over-quarter changes are listed as N/A, no trend information is available to assess whether leverage is increasing or decreasing. The combination of a very high ratio and the absence of trend data creates elevated investment risk, as the company’s financial structure is more vulnerable to interest rate shifts or earnings declines without a clear direction to evaluate. The elevated debt-to-equity ratio directly supports the overall CAUTIOUS verdict, since heavy leverage amplifies financial risk and reduces the margin of safety for shareholders.

Frequently Asked Questions

What does the Debt-to-Equity Ratio tell investors about ARRY?

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

How is the Debt-to-Equity Ratio calculated?

Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.

How does ARRY's Debt-to-Equity Ratio compare to its sector?

ARRY's Debt-to-Equity Ratio of 2.85x compares to a Energy sector median of 0.62x, placing it in the 94th percentile.

Who are ARRY's closest peers by Debt-to-Equity Ratio?

The closest Energy peers by Debt-to-Equity Ratio include: MTDR (0.62x), AR (0.59x), APA (0.68x), SEDG (0.81x), CNQ (0.37x).

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Learn More About Debt-to-Equity Ratio

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Debt/Equity Ratio: How Much Debt Is Too Much?

The debt to equity ratio explained: why context, interest coverage, and sector norms matter far more than the raw number when assessing debt risk.

The Formula

Total Debt / Shareholders' Equity

Why It Matters

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.