Core & Main Inc (CNM)

Core & Main Inc's solvency ratios indicate the company's ability to meet its long-term financial obligations and the extent to which it relies on debt financing.

1. Debt-to-assets ratio:
- Core & Main Inc's debt-to-assets ratio fluctuated over the years, ranging from 0.00 to 0.37.
- This ratio suggests the proportion of the company's assets financed by debt. A lower ratio indicates a lower reliance on debt for asset financing, which could be positive for long-term stability.

2. Debt-to-capital ratio:
- The debt-to-capital ratio also varied, with values between 0.00 and 0.56.
- This ratio reflects the percentage of the company's capital structure that is financed by debt. A lower ratio indicates a lesser reliance on debt in the company's capital mix.

3. Debt-to-equity ratio:
- Core & Main Inc's debt-to-equity ratio went from 0.00 to 1.28 over the period.
- This ratio compares the company's total debt to its shareholders' equity, indicating the level of financial leverage. A lower ratio is generally preferred as it signifies less financial risk.

4. Financial leverage ratio:
- The financial leverage ratio remained relatively stable around 3.46 to 3.49.
- This ratio measures the company's financial leverage and indicates how much the company relies on debt to finance its assets. A higher ratio suggests higher financial risk and greater dependence on debt financing.

Overall, Core & Main Inc's solvency ratios show varying levels of reliance on debt financing over the years, with a trend towards lower debt ratios in recent periods which may signal improved financial stability and lower risk of default.

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Coverage ratios

To analyze Core & Main Inc's interest coverage, we look at the data over several periods. The interest coverage ratio indicates a company's ability to meet interest payments on its outstanding debt. A higher ratio suggests better ability to cover interest expenses.

- As of January 29, 2023, the interest coverage ratio was 8.48, indicating the company's earnings were able to cover its interest payments more than 8 times.
- By January 31, 2023, the ratio improved to 11.83, signaling a stronger ability to meet interest obligations.
- However, by January 28, 2024, the interest coverage ratio declined to 7.16, although it remained relatively healthy.
- As of January 31, 2024, the ratio improved to 9.14, showing an increased ability to cover interest costs.
- By January 31, 2025, the interest coverage ratio decreased to 5.06, suggesting a potential decrease in the company's ability to cover interest expenses.

Overall, Core & Main Inc's interest coverage ratio fluctuated over the periods analyzed, indicating varying levels of ability to cover interest payments. It is essential for investors and stakeholders to monitor these fluctuations to assess the company's financial health and debt repayment capacity.