Caseys General Stores Inc (CASY)

Solvency ratios

Apr 30, 2024 Jan 31, 2024 Oct 31, 2023 Jul 31, 2023 Apr 30, 2023 Jan 31, 2023 Oct 31, 2022 Jul 31, 2022 Apr 30, 2022 Jan 31, 2022 Oct 31, 2021 Jul 31, 2021 Apr 30, 2021 Jan 31, 2021 Oct 31, 2020 Jul 31, 2020 Apr 30, 2020 Jan 31, 2020 Oct 31, 2019 Jul 31, 2019
Debt-to-assets ratio 0.25 0.26 0.26 0.26 0.27 0.28 0.28 0.29 0.30 0.33 0.32 0.33 0.31 0.31 0.31 0.31 0.18 0.18 0.18 0.34
Debt-to-capital ratio 0.34 0.35 0.36 0.37 0.38 0.39 0.39 0.41 0.43 0.45 0.44 0.45 0.41 0.42 0.42 0.42 0.30 0.31 0.31 0.47
Debt-to-equity ratio 0.52 0.54 0.55 0.58 0.61 0.63 0.65 0.69 0.74 0.81 0.79 0.83 0.70 0.72 0.73 0.73 0.43 0.45 0.46 0.88
Financial leverage ratio 2.11 2.11 2.15 2.18 2.23 2.24 2.30 2.39 2.46 2.47 2.47 2.50 2.31 2.32 2.32 2.34 2.40 2.47 2.48 2.58

Caseys General Stores Inc's solvency ratios have shown some fluctuations over the past several periods. The debt-to-assets ratio has generally been within the range of 0.25 to 0.34, indicating that the company has been able to manage its debt levels relative to its total assets. However, there was a slight increase in this ratio from 0.18 in the third quarter of 2020 to 0.34 in the first quarter of 2020, which may raise some concerns about the company's asset coverage.

The debt-to-capital and debt-to-equity ratios have also experienced fluctuations, with the ratios increasing gradually over time. The debt-to-capital ratio ranged from 0.34 to 0.47, while the debt-to-equity ratio ranged from 0.52 to 0.88 during the periods in question. These ratios indicate that the company relies more on debt financing compared to equity, which may increase its financial risk and raise questions about its ability to cover debt obligations.

Additionally, the financial leverage ratio has generally been increasing over time, indicating that the company is using more debt to finance its operations. The ratio increased from 2.11 in the second and third quarters of 2024 to 2.58 in the third quarter of 2019. This trend suggests that the company's financial risk and leverage have been on the rise, which could potentially impact its financial stability and flexibility.

Overall, the analysis of Caseys General Stores Inc's solvency ratios highlights the company's reliance on debt financing and its increasing financial leverage over the periods under review. These trends indicate the importance of closely monitoring the company's debt management strategies and financial health to ensure sustainable long-term growth and stability.

Coverage ratios

Apr 30, 2024 Jan 31, 2024 Oct 31, 2023 Jul 31, 2023 Apr 30, 2023 Jan 31, 2023 Oct 31, 2022 Jul 31, 2022 Apr 30, 2022 Jan 31, 2022 Oct 31, 2021 Jul 31, 2021 Apr 30, 2021 Jan 31, 2021 Oct 31, 2020 Jul 31, 2020 Apr 30, 2020 Jan 31, 2020 Oct 31, 2019 Jul 31, 2019
Interest coverage 13.28 12.91 13.86 13.00 12.34 11.82 10.45 9.56 8.74 8.98 8.76 9.61 9.73 9.77 9.35 8.30 7.40 6.49 6.69 6.21

Caseys General Stores Inc has shown a consistent improvement in its interest coverage ratio over the past few years. The interest coverage ratio measures a company's ability to meet its interest payments on outstanding debt.

From October 2019 to April 2024, the interest coverage ratio has steadily increased from 6.21 to 13.28, indicating that the company's earnings before interest and taxes (EBIT) are sufficient to cover its interest expense. This upward trend suggests that Caseys General Stores Inc has become more capable of servicing its debt obligations without facing financial distress.

The company's interest coverage ratio has exceeded 8 in recent periods, indicating a healthy financial position with comfortable cushion to meet interest payments. A ratio above 1 indicates that the company generates enough earnings to cover its interest costs.

Overall, the increasing trend in Caseys General Stores Inc's interest coverage ratio reflects a positive sign of financial strength and stability, suggesting that the company is effectively managing its debt obligations and has the potential for sustained growth.