Buckle Inc (BKE)
Return on equity (ROE)
| Jan 31, 2025 | Feb 3, 2024 | Jan 31, 2024 | Jan 31, 2023 | Jan 28, 2023 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 195,468 | 219,919 | 219,919 | 254,626 | 254,626 |
| Total stockholders’ equity | US$ in thousands | 423,804 | 413,220 | 413,220 | 376,314 | 376,314 |
| ROE | 46.12% | 53.22% | 53.22% | 67.66% | 67.66% |
January 31, 2025 calculation
ROE = Net income ÷ Total stockholders’ equity
= $195,468K ÷ $423,804K
= 46.12%
Based on the data provided, Buckle Inc's return on equity (ROE) has shown a declining trend over the years. In January 2023 and continuing into February 2024, the ROE remained constant at 67.66%. However, as of January 31, 2025, the ROE decreased significantly to 46.12%.
The diminishing ROE suggests that Buckle Inc may be experiencing challenges in generating profit with the shareholders' equity available. A lower ROE could stem from various factors such as decreasing net income, inefficient use of assets, or a rise in equity without a corresponding increase in profit.
It is important for Buckle Inc to closely analyze the drivers behind the decreasing ROE and implement strategic measures to improve profitability and efficiency. This could include enhancing operational performance, optimizing asset utilization, and revisiting the capital structure to enhance returns for shareholders.
Peer comparison
Jan 31, 2025