Debt to equity might not be relevant when comparing a bank to companies in other industries, IMO its still a relevant metric in comparing different banks. It reveals to us, for e.g., the potential unused lending capacity of a bank, or the efficiency of the bank in using its risk capital when read in conjunction with its equity capital ratios.
BTW, the common equity ratios as defined by regulators is essentially a derivative of debt/capital ratio.
BTW, the common equity ratios as defined by regulators is essentially a derivative of debt/capital ratio.