Caleres Inc (CAL)

Short-term

Turnover ratios

Caleres Inc's inventory turnover ratio has shown consistency over the periods, ranging from 3.49 to 5.55 times. This indicates that the company efficiently manages its inventory levels and quickly turns over its inventory into sales.

The receivables turnover ratio fluctuates between 11.51 to 21.01 times. This indicates that Caleres Inc effectively collects payments from customers on credit sales, with higher turnover ratios implying better management of accounts receivable.

The payables turnover ratio shows variability between 5.87 to 12.04 times. This suggests that the company manages its accounts payable efficiently, with higher turnover ratios implying a quicker payment cycle.

The working capital turnover ratio, only available for a few periods, shows a significant range from 61.29 to 303.33 times. This ratio indicates how effectively the company utilizes its working capital to generate sales. Higher turnover ratios signify better efficiency in utilizing working capital.

Overall, Caleres Inc shows stable performance in managing its inventory, receivables, and payables turnover ratios, reflecting efficient operational management.

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Average number of days

Days of inventory on hand (DOH) for Caleres Inc have shown a fluctuating trend over the past few periods, ranging from around 65 days to over 145 days. This ratio indicates the average number of days it takes for the company to sell its inventory. A lower DOH is generally seen as more favorable as it suggests efficient inventory management. Caleres Inc would benefit from monitoring and potentially improving inventory turnover to reduce the days of inventory on hand.

Days of sales outstanding (DSO) have also varied for Caleres Inc, ranging from approximately 17 days to over 30 days. DSO measures the average number of days it takes for the company to collect revenue after a sale is made. A lower DSO implies faster collection of receivables, which is favorable for cash flow management. Caleres Inc should focus on optimizing its credit policies and collection procedures to reduce DSO and improve liquidity.

The number of days of payables for Caleres Inc has shown some fluctuations, with values ranging from around 30 days to close to 60 days. This ratio represents the average number of days it takes for the company to pay its suppliers. A longer payable period can indicate extended payment terms negotiated with suppliers, which may benefit cash flow. However, excessively long payment periods could strain supplier relationships. Caleres Inc should aim to strike a balance between managing liquidity through payables and maintaining strong vendor partnerships.

Overall, the analysis of these activity ratios for Caleres Inc suggests opportunities for the company to enhance its inventory turnover, receivables collection, and payables management practices to improve operational efficiency and cash flow.

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Long-term

Caleres Inc's fixed asset turnover ratio has remained relatively stable over the period analyzed, fluctuating between 3.17 and 21.43. The ratio indicates that the company generates significant sales revenue relative to its investment in fixed assets. This could reflect efficient asset utilization, as higher turnover ratios suggest that the company is effectively using its fixed assets to generate sales.

In contrast, the total asset turnover ratio has shown more variability, ranging from 0.30 to 1.62 during the period. The ratio measures Caleres Inc's ability to generate sales revenue from its total assets. A higher total asset turnover ratio implies that the company is generating more sales relative to its total assets.

Overall, the company's fixed asset turnover suggests efficient utilization of fixed assets, while the total asset turnover indicates fluctuations in the ability to generate sales from all assets. Further analysis and comparison with industry benchmarks could provide additional insights into Caleres Inc's long-term activity performance.