Buckle Inc (BKE)

Short-term

Turnover ratios

The inventory turnover ratio for Buckle Inc has shown a consistent trend over the past two years, ranging from 5.55 to 9.39. This indicates that the company is efficient in managing its inventory levels and converting them into sales within a reasonable time frame.

On the other hand, the receivables turnover ratio has fluctuated significantly, ranging from 78.94 to 649.69. The sharp fluctuations may suggest variations in the company's credit policies, sales practices, or customer payment behaviors.

The payables turnover ratio for Buckle Inc has also shown variability, with values ranging from 12.32 to 37.36. This could indicate changes in the company's payment terms with suppliers or its ability to manage its accounts payables efficiently.

The working capital turnover ratio, ranging from 3.07 to 9.07, demonstrates how effectively the company is utilizing its working capital to generate sales. A higher ratio suggests that the company is efficiently using its resources to drive revenue growth.

Overall, the activity ratios of Buckle Inc reflect varying levels of efficiency in managing its inventory, receivables, payables, and working capital over the analyzed periods. Monitoring these ratios can help stakeholders assess the company's operational performance and identify areas for improvement.

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Average number of days

Days of inventory on hand (DOH) for Buckle Inc have shown some fluctuation over the past few periods, ranging from a low of 38.85 days to a high of 65.76 days. The trend indicates that the company has been able to manage its inventory efficiently, with a recent decrease in DOH suggesting a potentially improved inventory turnover.

Days of sales outstanding (DSO) have also varied, with a low of 0.56 days and a high of 4.62 days. Lower DSO values indicate that the company is collecting its receivables quickly, which is a positive sign for cash flow management. However, the fluctuation in DSO values suggests some inconsistency in the company's credit and collection policies.

The number of days of payables has ranged from 9.77 days to 29.62 days, indicating the number of days the company takes to pay its suppliers. Lower values suggest more efficient management of payables. Buckle Inc appears to have maintained a relatively stable average payment period to its suppliers over the periods, albeit with some fluctuations.

Overall, the activity ratios for Buckle Inc reflect a mixed performance in managing its inventory, receivables, and payables. The company should focus on maintaining a balance between these components to optimize its working capital management and cash flow efficiency.

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Long-term

Buckle Inc's long-term activity ratios provide insights into the company's efficiency in utilizing its fixed assets and total assets to generate sales revenue. The fixed asset turnover ratio has been relatively stable over the past few years, ranging from 6.95 to 12.88. This indicates that Buckle Inc has been able to generate sales efficiently from its investment in fixed assets, with a peak of 12.88 in the most recent period, suggesting improved utilization of fixed assets.

In contrast, the total asset turnover ratio has displayed more variability, ranging from 0.95 to 1.66. Despite fluctuations, the overall trend in total asset turnover has been positive, with the ratio generally increasing over the years. This implies that Buckle Inc has been increasingly efficient in generating sales revenue from its total assets, which include both fixed and current assets.

Overall, the trend in both fixed asset turnover and total asset turnover ratios suggests that Buckle Inc has been effectively managing its assets to drive revenue growth. The improvement in asset turnover ratios indicates enhanced operational efficiency and productivity, which are positive indicators of the company's long-term sustainability and profitability.