Academy Sports Outdoors Inc (ASO)
Financial leverage 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 4,900,960 | 5,091,780 | 4,874,360 | 4,873,880 | 4,676,710 | 4,703,820 | 4,921,270 | 4,921,270 | 4,675,420 | 4,675,420 | 4,641,930 | 4,641,930 | 4,595,440 | 4,595,440 | 4,782,460 | 4,782,460 | 4,653,970 | 4,653,970 | 4,719,160 | 4,584,940 |
| Total stockholders’ equity | US$ in thousands | 2,004,040 | 1,961,530 | 1,952,390 | 1,905,520 | 1,954,650 | 1,954,650 | 1,793,090 | 1,793,090 | 1,738,040 | 1,738,040 | 1,680,960 | 1,680,960 | 1,628,310 | 1,628,310 | 1,558,920 | 1,558,920 | 1,521,270 | 1,521,270 | 1,528,510 | 1,466,950 |
| Financial leverage ratio | 2.45 | 2.60 | 2.50 | 2.56 | 2.39 | 2.41 | 2.74 | 2.74 | 2.69 | 2.69 | 2.76 | 2.76 | 2.82 | 2.82 | 3.07 | 3.07 | 3.06 | 3.06 | 3.09 | 3.13 |
January 31, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $4,900,960K ÷ $2,004,040K
= 2.45
The financial leverage ratio of Academy Sports Outdoors Inc has exhibited a declining trend over the period from January 31, 2022, to January 31, 2025. The ratio decreased from 3.13 in January 2022 to 2.45 in January 2025. This trend indicates that the company has been gradually reducing its reliance on debt financing in relation to its equity as the ratio has been consistently decreasing over the years.
A lower financial leverage ratio generally suggests that the company has a lower level of financial risk as it indicates a lower proportion of debt in the company's capital structure compared to equity. In the case of Academy Sports Outdoors Inc, the decreasing trend in the financial leverage ratio implies that the company has been effectively managing its debt levels and shifting towards a more conservative capital structure.
It is worth noting that while a lower financial leverage ratio may signal reduced financial risk, it may also indicate a potentially lower return on equity as the company relies less on debt to fund its operations. Thus, investors and analysts should consider this balance between risk and return when assessing the financial health and performance of Academy Sports Outdoors Inc.
Peer comparison
Jan 31, 2025