American Eagle Outfitters Inc (AEO)
Quick ratio
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 3, 2024 | Jan 31, 2024 | Oct 31, 2023 | Oct 28, 2023 | Jul 31, 2023 | Jul 29, 2023 | Apr 30, 2023 | Apr 29, 2023 | Jan 31, 2023 | Jan 28, 2023 | Oct 31, 2022 | Oct 29, 2022 | Jul 31, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 31, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 308,962 | 160,195 | 191,837 | 300,518 | 354,094 | 354,094 | 240,940 | 240,940 | 175,315 | 175,315 | 117,841 | 117,841 | 170,209 | 170,209 | 82,133 | 82,133 | 98,214 | 98,214 | 228,775 | 434,770 |
| Short-term investments | US$ in thousands | 50,000 | 0 | 0 | 100,000 | 100,000 | 100,000 | — | — | 388 | 388 | 384 | 384 | 85,249 | 85,249 | 384 | 384 | 104 | 104 | 103 | — |
| Receivables | US$ in thousands | — | — | — | — | 247,934 | — | — | 239,374 | — | 271,333 | — | 259,074 | — | 252,358 | — | 250,879 | — | 220,803 | — | — |
| Total current liabilities | US$ in thousands | 882,656 | 851,015 | 794,386 | 773,329 | 891,172 | 891,172 | 831,231 | 831,231 | 762,476 | 762,476 | 716,437 | 716,437 | 768,948 | 768,948 | 685,430 | 685,430 | 718,061 | 718,061 | 737,479 | 842,871 |
| Quick ratio | 0.41 | 0.19 | 0.24 | 0.52 | 0.79 | 0.51 | 0.29 | 0.58 | 0.23 | 0.59 | 0.17 | 0.53 | 0.33 | 0.66 | 0.12 | 0.49 | 0.14 | 0.44 | 0.31 | 0.52 |
January 31, 2025 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($308,962K
+ $50,000K
+ $—K)
÷ $882,656K
= 0.41
The quick ratio of American Eagle Outfitters Inc has fluctuated over the periods analyzed. A quick ratio below 1 indicates that the company may have difficulty meeting its short-term obligations using its most liquid assets.
The quick ratio was at its highest in February 2024 at 0.79, implying a strong ability to cover short-term liabilities with liquid assets at that time. The ratios in October 2023 (0.58) and July 2023 (0.59) also show relatively good liquidity levels.
Conversely, the quick ratio was at its lowest in October 31, 2022, at 0.12 and July 31, 2022, at 0.14, signaling potential liquidity challenges during those periods. The quick ratios in April 30, 2023 (0.17) and July 31, 2024 (0.24) also indicate weaker liquidity positions.
Overall, the company should aim to maintain a quick ratio above 1 to ensure it has sufficient liquid assets to cover its short-term liabilities effectively. Further analysis of the company's cash and current asset management may be necessary to improve liquidity levels.
Peer comparison
Jan 31, 2025