Buckle Inc (BKE)
Liquidity ratios
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Current ratio | 2.01 | 2.35 | 2.31 | 2.10 | 1.87 | 2.11 | 2.01 | 1.82 | 1.57 | 2.50 | 2.38 | 2.16 | 2.12 | 2.37 | 2.41 | 2.45 | 2.19 | 2.33 | 2.35 | 2.30 |
| Quick ratio | 1.35 | 1.60 | 1.57 | 1.37 | 1.26 | 1.42 | 1.37 | 1.20 | 1.12 | 2.03 | 1.87 | 1.69 | 1.57 | 1.68 | 1.62 | 1.48 | 1.37 | 1.43 | 1.45 | 1.46 |
| Cash ratio | 1.31 | 1.55 | 1.52 | 1.34 | 1.21 | 1.35 | 1.31 | 1.18 | 1.07 | 2.01 | 1.84 | 1.68 | 1.56 | 1.67 | 1.61 | 1.46 | 1.35 | 1.38 | 1.38 | 1.42 |
The liquidity ratios of Buckle Inc demonstrate a generally healthy liquidity position over the reported periods. The current ratio, which measures the company's ability to cover short-term liabilities with current assets, has shown slight fluctuations but remains consistently above 1, indicating a sufficient cushion to meet its current obligations. The quick ratio, a more stringent measure of liquidity as it excludes inventory from current assets, also reflects a solid liquidity position, hovering around 1.5 in most periods. This suggests that the company has an adequate ability to meet its short-term obligations ailing liquidity, showing some variability but generally staying above 1.
Moreover, the cash ratio, which focuses solely on the most liquid assets, such as cash and cash equivalents, has also been maintained at healthy levels, indicating the company's ability to cover its current liabilities with its most liquid assets. Overall, Buckle Inc's liquidity ratios suggest that the company has maintained a prudent approach to managing its short-term obligations and possesses a solid liquidity position throughout the reported periods.
Additional liquidity measure
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash conversion cycle | days | 32.13 | 35.55 | 32.28 | 30.65 | 32.25 | 33.11 | 27.98 | 23.74 | 19.45 | 16.34 | 13.46 | 16.22 | 29.85 | 32.15 | 36.49 | 52.90 | 46.27 | 48.42 | 45.71 | 42.58 |
The cash conversion cycle of Buckle Inc has shown fluctuations over the past few periods. The cash conversion cycle is a measure of how long it takes for a company to convert its investments in inventory and other resources into cash flows from sales.
In the most recent period, as of February 3, 2024, Buckle Inc had a cash conversion cycle of 32.13 days, indicating that it takes approximately 32 days for the company to convert its investments in inventory into cash flows from sales. This is a moderate level compared to some of the historic figures.
Looking at the trend, the cash conversion cycle has shown a general decreasing trend from around 52.90 days in May 2, 2020, to a low of 13.46 days in July 31, 2021, before starting to increase again. The cycle peaked at 52.90 days on May 2, 2020, but has since been on a downward trajectory.
Overall, a lower cash conversion cycle is generally considered favorable as it indicates that the company is efficiently managing its working capital and operating efficiently. It is essential for Buckle Inc to continue monitoring and managing its cash conversion cycle to ensure optimal efficiency in converting its investments into cash flows.