SHELNEUTRAL

SHEL Debt-to-Equity Ratio Analysis

0.26x

Higher than 31% of Energy sector peers

Updated 1547h ago·SEC filings & market data

Key Takeaway

The debt-to-equity ratio of 0.26x measures how much debt Shell uses relative to its shareholders' equity—a lower number generally indicates less financial leverage and lower risk.

Sector Performance

31th percentile

SHEL

0.26x

Sector Median

0.68x

Sector Avg

0.90x

Prior Period

0.44x(May 2026)

↑ Improving

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Deep Analysis

The debt-to-equity ratio of 0.26x measures how much debt Shell uses relative to its shareholders' equity—a lower number generally indicates less financial leverage and lower risk.

Compared to the Energy sector median of 0.68x, Shell's ratio sits at the 22th percentile among peers, meaning it carries substantially less debt than most companies in its industry. The year-over-year change is not available, but the quarter-over-quarter change shows a -40.9% decline, and the two most recent historical values (0.26x followed by 0.44x) confirm a sharp recent drop in leverage. This combination of a very low current level and a rapidly decreasing trend implies reduced financial risk from debt, but it may also signal a cautious capital structure that could limit growth opportunities. The overall NEUTRAL verdict on Shell is supported by this metric: low debt is a defensive strength, but the conservative stance does not necessarily point to strong upside potential.

Frequently Asked Questions

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

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

SHEL's Debt-to-Equity Ratio of 0.26x compares to a Energy sector median of 0.68x, placing it in the 31th percentile.

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

The closest Energy peers by Debt-to-Equity Ratio include: APA (0.68x), AR (0.59x), SEDG (0.81x), ESTE (0.95x), CNQ (0.37x).

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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.