CNPNEUTRAL

Debt-to-Equity Ratio

2.16x

Updated 8h ago

Sector Performance

86th percentile

CNP

2.16x

Sector Median

0.73x

Sector Avg

0.09x

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Deep Analysis

Debt-to-equity (D/E) measures a company's financial leverage by comparing its total liabilities to shareholders' equity.

A D/E of 2.16x means CNP uses $2.16 of debt for every $1 of equity — a relatively heavy reliance on borrowed funds. This is far above the sector median of 0.73x, placing CNP in the 86th percentile among peers, indicating much higher leverage than most. Both the year-over-year and quarter-over-quarter changes are reported as N/A, and no trend data is available for the last eight quarters, so there is no directional signal. The combination of a high leverage level with no trend data implies elevated financial risk if earnings falter, but also no evidence of recent increases or decreases to guide expectations. This metric supports the overall NEUTRAL verdict because, while the high D/E raises risk concerns, the absence of trend information prevents a decisive bullish or bearish call, leaving the stock in a balanced assessment.

Frequently Asked Questions

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

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.

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

The closest peers by Debt-to-Equity Ratio include: ETSY (-2.62x), MCK (-3.00x), TDG (-3.40x), VRSK (-3.81x), MAR (-4.04x).

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.

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CNP

2.16x

Sector Median

0.73x

Sector Avg

0.09x

How CNP's Debt-to-Equity Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.