Chewy Inc (CHWY)
Solvency ratios
| Jan 31, 2025 | Oct 31, 2024 | Oct 27, 2024 | Jul 31, 2024 | Jul 28, 2024 | Apr 30, 2024 | Apr 28, 2024 | Jan 31, 2024 | Jan 28, 2024 | Oct 31, 2023 | Oct 29, 2023 | Jul 31, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 31, 2023 | Jan 29, 2023 | Oct 31, 2022 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 11.53 | 13.24 | 13.24 | 6.37 | 6.37 | 4.98 | 4.98 | 6.70 | 6.25 | 7.47 | 7.40 | 7.96 | 7.90 | 9.70 | 11.76 | 15.72 | 15.19 | 15.19 | 20.18 | 37.37 |
Chewy Inc's solvency ratios indicate a strong financial position with consistently low levels of indebtedness. The Debt-to-assets ratio, Debt-to-capital ratio, and Debt-to-equity ratio have all been consistently at 0.00 from May 1, 2022, to January 31, 2025, suggesting that the company has not relied on debt to finance its operations or growth.
The Financial leverage ratio has been decreasing steadily over the same period, starting at 37.37 on May 1, 2022, and reaching 11.53 on January 31, 2025. This decreasing trend signifies that Chewy Inc has been gradually reducing its reliance on debt to fund its activities, indicating a lower financial risk and a healthier balance sheet.
Overall, the solvency ratios reflect Chewy Inc's prudent financial management and its ability to maintain a low level of debt relative to its assets, capital, and equity. This indicates a strong solvency position and a reduced risk of financial distress in the foreseeable future.
Coverage ratios
| Jan 31, 2025 | Oct 31, 2024 | Oct 27, 2024 | Jul 31, 2024 | Jul 28, 2024 | Apr 30, 2024 | Apr 28, 2024 | Jan 31, 2024 | Jan 28, 2024 | Oct 31, 2023 | Oct 29, 2023 | Jul 31, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 31, 2023 | Jan 29, 2023 | Oct 31, 2022 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 19.57 | 27.57 | 36.22 | 44.93 | 40.36 | 43.53 | 20.28 | -8.13 | -2.20 | -7.51 | 9.38 | 8.92 | 7.84 | 5.98 | 3.65 | 14.20 | 18.32 | 27.70 | -5.56 | -54.11 |
Interest coverage ratio is a financial metric used to assess a company's ability to meet its interest obligations on outstanding debt. A higher interest coverage ratio indicates that the company is more capable of meeting its interest payments. If the ratio is less than 1, it means the company is not generating enough earnings to cover its interest expenses.
Looking at the historical interest coverage ratios of Chewy Inc, we can see fluctuations over time. As of January 31, 2025, the interest coverage ratio was 19.57, indicating an improvement in the company's ability to cover its interest payments compared to previous periods.
However, it is important to note that there have been periods, such as May 1, 2022, July 31, 2022, January 31, 2023, and January 31, 2024, where the interest coverage ratio was negative. A negative interest coverage ratio suggests that the company's operating income was not sufficient to cover its interest expenses during those periods, which can be a cause for concern for investors and creditors.
Overall, Chewy Inc's interest coverage ratio has shown variability over the analyzed periods. Investors and stakeholders should continue to monitor this ratio to assess the company's financial health and its ability to service its debt obligations in the future.