Caseys General Stores Inc (CASY)
Solvency ratios
| Apr 30, 2024 | Apr 30, 2023 | Apr 30, 2022 | Apr 30, 2021 | Apr 30, 2020 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.25 | 0.27 | 0.30 | 0.31 | 0.18 |
| Debt-to-capital ratio | 0.34 | 0.38 | 0.43 | 0.41 | 0.30 |
| Debt-to-equity ratio | 0.52 | 0.61 | 0.74 | 0.70 | 0.43 |
| Financial leverage ratio | 2.11 | 2.23 | 2.46 | 2.31 | 2.40 |
Caseys General Stores Inc's solvency ratios indicate a favorable trend over the past five years. The debt-to-assets ratio has shown a declining pattern, decreasing from 0.31 in 2021 to 0.25 in 2024, signaling an improvement in the company's ability to cover its liabilities with its assets.
Similarly, the debt-to-capital ratio has exhibited a decreasing trend, dropping from 0.43 in 2022 to 0.34 in 2024. This implies that the company has been relying less on debt to finance its operations, which is a positive sign for its solvency.
The debt-to-equity ratio has also shown improvement, declining from 0.74 in 2022 to 0.52 in 2024. This suggests that Caseys General Stores Inc has been reducing its dependency on debt in relation to equity, which can enhance its financial stability.
Lastly, the financial leverage ratio has fluctuated slightly but overall showcases a declining trend, decreasing from 2.40 in 2020 to 2.11 in 2024. This indicates that the company has been effectively managing its debt levels in relation to its equity, which can contribute to its overall solvency and financial health.
In conclusion, based on the solvency ratios analysis, Caseys General Stores Inc appears to be in a stronger financial position with improved solvency metrics over the past five years.
Coverage ratios
| Apr 30, 2024 | Apr 30, 2023 | Apr 30, 2022 | Apr 30, 2021 | Apr 30, 2020 | |
|---|---|---|---|---|---|
| Interest coverage | 13.28 | 12.34 | 8.74 | 9.73 | 7.40 |
Caseys General Stores Inc's interest coverage ratio has shown a generally positive trend over the past five years. The interest coverage ratio measures a company's ability to meet its interest payments on outstanding debt.
In April 2024, the company's interest coverage ratio was 13.28, indicating that Caseys General Stores Inc generated operating income 13.28 times more than the interest expense for the period. This represents an improvement compared to the previous year where the ratio was 12.34.
Looking back over the past five years, there has been a steady increase in the interest coverage ratio, with figures of 8.74 in 2022, 9.73 in 2021, and 7.40 in 2020. This suggests that the company's ability to cover its interest payments has been strengthening over time.
A high interest coverage ratio is generally seen as a positive indicator of a company's financial health, as it indicates a lower risk of default on debt obligations. Caseys General Stores Inc's consistent improvement in interest coverage ratio reflects a solid performance in managing its interest expenses relative to its operating income.