CL Debt-to-Equity Ratio Analysis

The debt-to-equity ratio measures how much debt a company uses to finance its assets relative to shareholders’ equity; at 33.29x, the company has $33.29 of debt for every $1 of equity.

That is far above the sector median of 0.74x, placing it in the 99th percentile among peers, meaning nearly all comparable firms carry far less leverage. The year-over-year change is not available, but the quarter-over-quarter change shows the ratio fell by 39.5%, from 54.99x to 33.29x. While the level is still extreme and signals high financial risk, the sharp quarterly decline indicates the company is actively reducing debt or increasing equity, which tempers some near-term danger. This combination of an outlier-high ratio with a recent drop still leaves the company exposed to higher interest costs and default risk than its sector. The metric directly supports the overall CAUTIOUS verdict, because such heavy leverage leaves little cushion if earnings or cash flow weaken.

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