Debt-to-Equity Ratio

ETN's debt-to-equity ratio of 1.07x means the company uses $1.07 in debt for every $1 of shareholder equity, indicating a moderate reliance on borrowing to finance operations.

This is above the sector median of 0.73x, placing ETN in the 67th percentile among its peers — meaning it carries more debt than two-thirds of similar companies. The year-over-year and quarter-over-quarter changes are both listed as N/A, and no trend data is available for the last eight quarters, so there is no indication of whether leverage is rising or falling. Without a trend, the absolute high level compared to peers suggests elevated financial risk, as a higher debt load can pressure earnings if interest costs rise or cash flows decline. This metric does not contradict the overall CAUTIOUS verdict — the above-median debt supports a cautious stance, since it signals greater financial leverage and potential vulnerability in a downturn.

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