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Medtronic PLC (NYSE:MDT)
Debt to Equity
0.68 (As of Apr. 2015)

Medtronic PLC's current portion of long-term debt for the quarter that ended in Apr. 2015 was $2,434 Mil. Medtronic PLC's long-term debt for the quarter that ended in Apr. 2015 was $33,752 Mil. Medtronic PLC's total equity for the quarter that ended in Apr. 2015 was $53,230 Mil. Medtronic PLC's debt to equity for the quarter that ended in Apr. 2015 was 0.68.

A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.


Definition

Debt to Equity measures the financial leverage a company has.

Medtronic PLC's Debt to Equity Ratio for the fiscal year that ended in Apr. 2015 is calculated as

Debt to Equity=Total Debt / Total Equity
=(Current Portion of Long-Term Debt + Long-Term Debt) / Total Equity
=(2434 + 33752) / 53230
=0.68

Medtronic PLC's Debt to Equity Ratio for the quarter that ended in Apr. 2015 is calculated as

Debt to Equity=Total Debt / Total Equity
=(Current Portion of Long-Term Debt + Long-Term Debt) / Total Equity
=(2434 + 33752) / 53230
=0.68

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

In the calculation of Debt to Equity, we use the total of Current Portion of Long-Term Debt and Long-Term Debt divided by Total Equity. In some calculations, Total Liabilities is used to for calculation.


Be Aware

Because a company can increase its Return on Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return on Equity companies.


Related Terms

Current Portion of Long-Term Debt, Long-Term Debt, Total Equity, Return on Equity


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Medtronic PLC Annual Data

Apr06Apr07Apr08Apr09Apr10Apr11Apr12Apr13Apr14Apr15
deb2equity 0.840.560.600.510.650.620.620.570.610.68

Medtronic PLC Quarterly Data

Jan13Apr13Jul13Oct13Jan14Apr14Jul14Oct14Jan15Apr15
deb2equity 0.640.570.600.660.630.610.670.701.430.68
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