This firm currently holds 8.28 M in liabilities with Debt to Equity (D/E) ratio of 0.03, which may suggest Legacy Housing is not taking enough advantage from borrowing. The company has a current ratio of 2.1, suggesting that it is liquid enough and is able to pay its financial obligations when due. Debt can assist Legacy Housing until it has trouble settling it off, either with new capital or with free cash flow. So, Legacy Housing's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Legacy Housing Corp sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Legacy to invest in growth at high rates of return. When we think about Legacy Housing's use of debt, we should always consider it together with cash and equity.