ROKNEUTRAL

Debt-to-Equity Ratio

1.05x

Higher than 67% of Industrials sector peers

Updated 270h ago

Sector Performance

67th percentile

ROK

1.05x

Sector Median

0.72x

Sector Avg

0.79x

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Deep Analysis

The debt-to-equity ratio compares a company’s total liabilities to its shareholders’ equity, measuring how much debt it uses to fund operations relative to its own capital.

At 1.05x, ROK has $1.05 of debt for every $1 of equity, meaning it carries more leverage than the typical industrial company. The sector median is 0.72x, and ROK ranks in the 69th percentile among peers—indicating higher financial risk than about two-thirds of similar firms. Over the latest quarter, the ratio fell 8.7% (from 1.15x to 1.05x), and the eight-quarter trend is decreasing, though no year-over-year change is available. The combination of a still-elevated level with a declining trend suggests leverage is being reduced, potentially improving the company’s risk profile over time, but it remains above the sector norm. This metric supports the overall NEUTRAL verdict: the improvement is positive, yet the above-median ranking keeps the stock from being clearly undervalued or overleveraged.

Frequently Asked Questions

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

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

ROK's Debt-to-Equity Ratio of 1.05x compares to a Industrials sector median of 0.72x, placing it in the 67th percentile.

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

The closest Industrials peers by Debt-to-Equity Ratio include: PWR (0.65x), CHRW (0.79x), ADP (0.63x), RTX (0.56x), ROP (0.56x).

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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ROK

1.05x

Sector Median

0.72x

Sector Avg

0.79x

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

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