POWINEUTRAL

POWI Debt-to-Equity Ratio Analysis

0.00x

Higher than 2% of Technology sector peers

Updated 2556h ago·SEC filings & market data

Key Takeaway

Power Integrations' debt-to-equity ratio of 0.00x means the company has no long-term debt compared to its shareholders' equity — a measure of financial leverage.

Sector Performance

2th percentile

POWI

0.00x

Sector Median

0.20x

Sector Avg

0.28x

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Deep Analysis

Power Integrations' debt-to-equity ratio of 0.00x means the company has no long-term debt compared to its shareholders' equity — a measure of financial leverage.

This places it well below the technology sector median of 0.27x, and at the 5th percentile among sector peers, indicating it carries far less debt than most competitors. The year-over-year change is N/A, quarter-over-quarter change is N/A, and the trend over the last eight quarters is also N/A, so no movement is available to analyze. The combination of a zero debt level with no recent change suggests a minimal financial risk profile, as the company is not reliant on borrowed funds. However, this could also imply an opportunity to use debt for growth if needed, though current strategy avoids it. This metric strongly supports the overall BULLISH verdict, since a debt-free balance sheet reduces bankruptcy risk and interest expense, aligning with a positive outlook.

Frequently Asked Questions

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

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.

How does POWI's Debt-to-Equity Ratio compare to its sector?

POWI's Debt-to-Equity Ratio of 0.00x compares to a Technology sector median of 0.20x, placing it in the 2th percentile.

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

The closest Technology peers by Debt-to-Equity Ratio include: TSM (0.15x), PTC (0.41x), AVGO (0.74x), U (0.75x), AAPL (0.80x).

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Learn More About Debt-to-Equity Ratio

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Debt/Equity Ratio: How Much Debt Is Too Much?

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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.