Designer Brands Inc (DBI)
Current ratio
| Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Feb 1, 2020 | Nov 2, 2019 | Aug 3, 2019 | May 4, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 777,432 | 799,809 | 800,700 | 831,800 | 789,931 | 1,027,050 | 1,001,250 | 999,425 | 914,216 | 970,317 | 803,761 | 863,297 | 780,585 | 776,902 | 770,460 | 949,207 | 900,810 | 926,863 | 924,157 | 896,725 |
| Total current liabilities | US$ in thousands | 622,271 | 678,255 | 650,838 | 642,359 | 636,126 | 717,520 | 740,142 | 757,299 | 758,917 | 880,862 | 774,730 | 800,222 | 752,683 | 831,566 | 669,218 | 732,726 | 680,031 | 641,830 | 648,863 | 596,024 |
| Current ratio | 1.25 | 1.18 | 1.23 | 1.29 | 1.24 | 1.43 | 1.35 | 1.32 | 1.20 | 1.10 | 1.04 | 1.08 | 1.04 | 0.93 | 1.15 | 1.30 | 1.32 | 1.44 | 1.42 | 1.50 |
February 3, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $777,432K ÷ $622,271K
= 1.25
The current ratio of Designer Brands Inc has fluctuated over the past few years, ranging from 0.93 to 1.50. The current ratio measures the company's ability to meet its short-term obligations with its current assets. A current ratio of 1 or higher is generally considered favorable, indicating the company has more current assets than current liabilities.
Looking at the trend, the current ratio increased from 1.10 in October 2021 to reach a peak of 1.50 in May 2021, suggesting improved liquidity and the ability to cover short-term liabilities. However, the ratio declined in the following quarters before stabilizing around 1.20 to 1.30 in recent periods.
While the current ratio has shown some variability, it generally remains above 1, indicating that Designer Brands Inc has been able to meet its short-term obligations with its current assets. It is important for the company to maintain a healthy current ratio to ensure financial stability and liquidity in the short term. Further analysis could involve comparing the current ratio to industry benchmarks or evaluating the components of current assets and liabilities to gain a deeper understanding of the company's liquidity position.
Peer comparison
Feb 3, 2024