RIDECAUTIOUS

RIDE Debt-to-Equity Ratio Analysis

0.00x

Higher than 5% of Consumer Cyclical sector peers

Updated 2867h ago·SEC filings & market data

Key Takeaway

The debt-to-equity ratio compares a company’s total liabilities to its shareholders’ equity, showing how much of its operations are funded by borrowed money versus owner investment.

Sector Performance

5th percentile

RIDE

0.00x

Sector Median

0.47x

Sector Avg

2.02x

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Deep Analysis

The debt-to-equity ratio compares a company’s total liabilities to its shareholders’ equity, showing how much of its operations are funded by borrowed money versus owner investment.

Lordstown Motors’ current ratio of 0.00x means it has no debt on its books relative to equity. This is far below the consumer cyclical sector median of 0.74x, placing the company in the 13th percentile among peers—indicating an unusually low reliance on debt financing. Because the year-over-year and quarter-over-quarter changes are both marked as N/A, and no trend data is available for the last eight quarters, there is no historical context to assess stability or change in leverage. A zero debt level reduces financial risk from potential defaults or interest burdens, but when combined with a CAUTIOUS overall verdict, it may also reflect limited access to credit markets or a weak balance sheet that prevents the company from borrowing. This metric alone does not contradict the CAUTIOUS stance, as extremely low debt can signal financial constraints rather than prudent management in a capital-intensive industry like automotive manufacturing.

Frequently Asked Questions

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

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 RIDE's Debt-to-Equity Ratio compare to its sector?

RIDE's Debt-to-Equity Ratio of 0.00x compares to a Consumer Cyclical sector median of 0.47x, placing it in the 5th percentile.

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

The closest Consumer Cyclical peers by Debt-to-Equity Ratio include: BOOT (0.59x), CAVA (0.62x), BWA (0.69x), GME (0.71x), SG (0.73x).

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Learn More About Debt-to-Equity Ratio

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Learn how to spot a debt problem in stocks using D/E, interest coverage, and net debt/EBITDA ratios. Real examples from META and MSFT, plus danger thresholds you need to know.

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

The debt to equity ratio explained: why context, interest coverage, and sector norms matter far more than the raw number when assessing debt risk.

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.