American Eagle Outfitters Inc (AEO)
Debt-to-capital ratio
| Jan 31, 2025 | Feb 3, 2024 | Jan 31, 2024 | Jan 31, 2023 | Jan 28, 2023 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | 8,911 |
| Total stockholders’ equity | US$ in thousands | 1,766,860 | 1,736,760 | 1,736,760 | 1,599,160 | 1,599,160 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.01 |
January 31, 2025 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $1,766,860K)
= 0.00
The debt-to-capital ratio of American Eagle Outfitters Inc has been consistently low over the past few years, as indicated by the data provided. The ratio remained at 0.00 for January 31, 2023, February 3, 2024, and January 31, 2025, indicating that the company has very minimal debt relative to its total capital.
This low ratio suggests that American Eagle Outfitters Inc relies more on equity financing rather than debt to fund its operations and expansion. A lower debt-to-capital ratio is typically viewed positively by investors and creditors as it signifies lower financial risk and greater stability.
Overall, the trend of the debt-to-capital ratio for American Eagle Outfitters Inc indicates a conservative approach to capital structure management, potentially reflecting a prudent financial strategy in managing its obligations and financial risks.
Peer comparison
Jan 31, 2025