Debt-to-Equity Ratio

The Debt-to-Equity (D/E) ratio compares a company’s total debt to its shareholders’ equity — at 7.89x, BA carries roughly $7.89 of debt for every $1 of equity, which signals heavy leverage and elevated financial risk.

This ratio sits far above the Industrials sector median of 0.79x, placing BA in the 100th percentile among peers, meaning it is the most leveraged company in its sector by this measure. Trend data is not available: the year-over-year change and quarter-over-quarter change are both marked as "N/A," and no historical values beyond the current 7.89x are provided. Without a trend direction, the assessment relies solely on the current level — an extremely high D/E ratio points to higher default risk and lower financial flexibility, which is a clear negative signal for risk-averse investors. This metric contradicts the overall NEUTRAL verdict because a D/E ratio that extreme would typically steer a rating toward a more cautious or negative stance, though the neutral verdict may incorporate other offsetting factors such as earnings stability or industry dynamics.

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