Abercrombie & Fitch Company (ANF)

Abercrombie & Fitch Company's solvency ratios indicate a strong financial position with low levels of debt relative to assets, capital, and equity. The debt-to-assets ratio declined from 0.11 in January 2023 to 0.00 in January 2024 and 2025, suggesting that the company has minimal debt in relation to its total assets. Similarly, the debt-to-capital and debt-to-equity ratios also decreased from 0.30 and 0.43 in January 2023 to 0.00 and 0.00 in January 2024 and 2025, respectively, indicating a conservative capital structure with little reliance on debt financing.

Furthermore, the financial leverage ratio decreased from 3.90 in January 2023 to 2.47 in January 2025, reflecting a reduction in the company's overall leverage and risk. This improvement in solvency ratios is a positive signal for Abercrombie & Fitch's ability to meet its financial obligations and indicates a solid financial health and stability.

Overall, Abercrombie & Fitch Company's solvency ratios demonstrate a prudent and sustainable approach to managing its debt and financial leverage, which bodes well for the company's long-term financial stability and resilience.

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Coverage ratios

Interest coverage is a crucial financial ratio that indicates a company's ability to meet its interest obligations on outstanding debt. In the case of Abercrombie & Fitch Company, the interest coverage ratio has shown a positive trend over the past few years based on the data provided:

- In January 28, 2023, the interest coverage ratio was 3.06, indicating that the company generated enough operating income to cover its interest expenses 3.06 times.
- By January 31, 2023, the interest coverage ratio improved to 3.58, suggesting a slight increase in the company's ability to meet its interest obligations.
- The most significant improvement was seen on January 31, 2024, with an interest coverage ratio of 17.09, indicating a substantial increase in the company's ability to cover its interest expenses.
- This positive trend continued on February 3, 2024, with an interest coverage ratio of 16.72, further strengthening the company's ability to service its debt.
- The latest data point on January 31, 2025, shows a notable increase in the interest coverage ratio to 64.65, demonstrating a significant improvement in Abercrombie & Fitch Company's capacity to cover its interest payments.

Overall, the increasing trend in the interest coverage ratio reflects Abercrombie & Fitch Company's strengthening financial position and suggests that the company has been more effective in generating sufficient operating income to meet its interest obligations over the years.