Buckle Inc (BKE)
Liquidity ratios
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Current ratio | 2.05 | 2.37 | 2.28 | 2.18 | 2.01 | 2.01 | 2.35 | 2.35 | 2.31 | 2.31 | 2.10 | 2.10 | 1.87 | 1.87 | 2.11 | 2.11 | 2.01 | 2.01 | 1.82 | 1.57 |
| Quick ratio | 1.36 | 1.53 | 1.50 | 1.42 | 1.35 | 1.31 | 1.55 | 1.60 | 1.52 | 1.57 | 1.34 | 1.37 | 1.21 | 1.26 | 1.35 | 1.42 | 1.31 | 1.37 | 1.18 | 1.07 |
| Cash ratio | 1.36 | 1.53 | 1.50 | 1.42 | 1.31 | 1.31 | 1.55 | 1.55 | 1.52 | 1.52 | 1.34 | 1.34 | 1.21 | 1.21 | 1.35 | 1.35 | 1.31 | 1.31 | 1.18 | 1.07 |
Buckle Inc's liquidity ratios indicate the company's ability to meet its short-term obligations. The current ratio, which measures the company's ability to cover its current liabilities with its current assets, has been fluctuating over the past few years but generally shows a healthy trend, increasing from 1.57 in January 2022 to 2.05 in January 2025. This suggests that Buckle Inc has been improving its liquidity position and can easily meet its short-term debt obligations.
The quick ratio, also known as the acid-test ratio, provides a more stringent measure of liquidity by excluding inventory from current assets. Buckle Inc's quick ratio has also shown a positive trend, increasing from 1.07 in January 2022 to 1.36 in January 2025. This indicates that the company has a strong ability to meet its short-term obligations using its most liquid assets.
The cash ratio, which is the most conservative liquidity ratio as it only considers cash and cash equivalents, has also been stable and strong for Buckle Inc over the years, ranging from 1.07 to 1.53. This suggests that the company has a solid cash position to cover its immediate liabilities.
Overall, Buckle Inc's liquidity ratios demonstrate a healthy liquidity position, with improving current, quick, and cash ratios over the years. This indicates the company's ability to manage its short-term financial obligations effectively and efficiently.
Additional liquidity measure
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash conversion cycle | days | 70.55 | 74.57 | 63.14 | 62.25 | 36.26 | 62.99 | 70.78 | 44.93 | 64.64 | 39.99 | 58.51 | 34.93 | 50.72 | 37.13 | 68.41 | 40.32 | 64.40 | 31.80 | 57.80 | 44.08 |
The cash conversion cycle of Buckle Inc has shown variations over the duration outlined in the data provided. The cash conversion cycle measures the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales.
From the data presented, we observe fluctuations in the cash conversion cycle of Buckle Inc over time. The cycle ranged from a low of 31.80 days in July 30, 2022, to a high of 74.57 days in October 31, 2024. These fluctuations indicate changes in the company's efficiency in managing its working capital, inventory turnover, and collection of receivables.
A lower cash conversion cycle indicates that the company is efficiently managing its working capital, inventory, and accounts receivables, leading to quicker cash flows. On the other hand, a higher cash conversion cycle suggests that the company may be facing challenges in converting its investments into cash efficiently.
Overall, Buckle Inc should aim to maintain a balance in its cash conversion cycle to ensure optimal working capital management and smooth cash flow operations. Monitoring and analyzing this cycle can provide insights into the company's liquidity, operational efficiency, and financial health.