Debt-to-Equity Ratio

The debt-to-equity (D/E) ratio measures how much debt a company uses to finance its operations relative to shareholders' equity.

At 0.59x, NDSN carries less debt than equity, indicating a conservative capital structure. This is below the sector median of 0.73x, placing the company in the 41st percentile among its peers — meaning it uses leverage less than most comparable firms. The metric has been stable over the last eight quarters, with no year-over-year data available, but it fell 4.8% quarter over quarter from 0.62x to 0.59x. A low and slightly declining D/E ratio implies lower financial risk, though it may also suggest the company is not aggressively pursuing debt-funded growth. This combination of below-median leverage with a stable-to-declining trend aligns with the overall NEUTRAL verdict: it does not signal elevated risk that would warrant a bearish view, nor does it indicate the kind of leverage typically associated with strong growth opportunities.

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