Best Buy Co. Inc (BBY)
Financial leverage ratio
| 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 | May 1, 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 14,967,000 | 16,882,000 | 15,318,000 | 14,688,000 | 15,803,000 | 17,021,000 | 15,419,000 | 15,251,000 | 17,504,000 | 20,102,000 | 18,579,000 | 17,705,000 | 19,067,000 | 21,202,000 | 17,412,000 | 15,605,000 | 15,591,000 | 16,926,000 | 14,978,000 | 14,550,000 |
| Total stockholders’ equity | US$ in thousands | 3,053,000 | 2,812,000 | 2,835,000 | 2,793,000 | 2,795,000 | 2,993,000 | 2,892,000 | 2,767,000 | 3,020,000 | 4,278,000 | 4,335,000 | 4,158,000 | 4,587,000 | 4,086,000 | 3,778,000 | 3,410,000 | 3,479,000 | 3,125,000 | 3,285,000 | 3,354,000 |
| Financial leverage ratio | 4.90 | 6.00 | 5.40 | 5.26 | 5.65 | 5.69 | 5.33 | 5.51 | 5.80 | 4.70 | 4.29 | 4.26 | 4.16 | 5.19 | 4.61 | 4.58 | 4.48 | 5.42 | 4.56 | 4.34 |
February 3, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $14,967,000K ÷ $3,053,000K
= 4.90
The financial leverage ratio of Best Buy Co. Inc has fluctuated over the past few quarters, ranging from 4.16 to 6.00. A high financial leverage ratio indicates that the company relies more on debt to finance its operations, potentially increasing its financial risk. On the other hand, a lower ratio suggests a lower reliance on debt financing.
Overall, the trend in the financial leverage ratio appears to have been relatively stable within the range of 4.16 to 6.00 over the analyzed period. It is important for investors and analysts to closely monitor changes in the financial leverage ratio as it can impact the company's ability to meet its financial obligations and affect its overall financial health.