American Eagle Outfitters Inc (AEO)
Solvency ratios
| Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Feb 1, 2020 | Nov 2, 2019 | Aug 3, 2019 | May 4, 2019 | Feb 2, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.01 | 0.00 | 0.11 | 0.10 | 0.11 | 0.09 | 0.09 | 0.09 | 0.09 | 0.09 | 0.14 | 0.18 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.02 | 0.01 | 0.22 | 0.22 | 0.23 | 0.19 | 0.19 | 0.21 | 0.23 | 0.23 | 0.34 | 0.39 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.02 | 0.01 | 0.28 | 0.27 | 0.29 | 0.24 | 0.24 | 0.26 | 0.30 | 0.30 | 0.52 | 0.64 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 2.05 | 2.03 | 2.05 | 2.08 | 2.14 | 2.51 | 2.64 | 2.68 | 2.66 | 2.68 | 2.74 | 3.16 | 3.27 | 3.64 | 3.64 | 2.67 | 2.74 | 2.73 | 2.62 | 1.48 |
The solvency ratios of American Eagle Outfitters Inc indicate the company's ability to meet its long-term financial obligations. Over the period analyzed, the debt-to-assets, debt-to-capital, and debt-to-equity ratios remained relatively low, suggesting that the company has a conservative capital structure with limited reliance on debt financing.
The debt-to-assets ratio consistently stayed below 0.20, indicating that the company's assets are primarily financed through equity rather than debt. The debt-to-capital and debt-to-equity ratios also remained below 0.40, demonstrating a healthy balance between debt and equity in the company's capital structure.
The financial leverage ratio, which measures the extent to which the company is utilizing debt to finance its operations, fluctuated over the period but generally remained within a reasonable range. A higher financial leverage ratio implies higher financial risk due to increased reliance on debt.
Overall, the solvency ratios of American Eagle Outfitters Inc suggest that the company has maintained a stable financial position with a conservative debt profile, which is favorable for long-term sustainability and resilience against financial challenges.
Coverage ratios
| Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Feb 1, 2020 | Nov 2, 2019 | Aug 3, 2019 | May 4, 2019 | Feb 2, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | — | 49.21 | 32.08 | 3.36 | 3.44 | 3.46 | 4.22 | 16.26 | 13.52 | 14.25 | 10.26 | -17.05 | -34.64 | — | — | — | — | — | — | — |
American Eagle Outfitters Inc's interest coverage ratio has shown fluctuations over the analyzed period. The interest coverage ratio indicates the company's ability to meet its interest obligations with its operating income. In the most recent period, the interest coverage ratio was not available, illustrating a lack of data or a potential issue with the company's financial reporting.
Looking at the historical trend, the interest coverage ratio has been relatively healthy, ranging from a low of 3.36 to a high of 49.21. A ratio above 1 indicates that American Eagle Outfitters Inc has sufficient earnings to cover its interest payments. Higher ratios, such as 49.21 in the previous period, signify a stronger ability to meet interest obligations.
It is worth noting that negative interest coverage ratios, like the -17.05 and -34.64 observed, suggest that the company's operating income was insufficient to cover its interest expenses during those specific periods. This could indicate financial distress and may warrant further investigation.
In conclusion, while the interest coverage ratio for American Eagle Outfitters Inc has exhibited variability, the overall trend shows a mixed performance in meeting interest obligations. Investors and stakeholders should continue to monitor the company's financial health and debt management strategies.