Designer Brands Inc (DBI)
Financial leverage 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 assets | US$ in thousands | 2,076,230 | 2,132,580 | 2,147,340 | 2,134,500 | 2,009,620 | 2,171,380 | 2,102,440 | 2,087,740 | 2,014,630 | 2,093,940 | 1,946,050 | 2,032,460 | 1,976,600 | 2,226,720 | 2,273,260 | 2,437,840 | 2,465,070 | 2,536,980 | 2,557,250 | 2,549,170 |
| Total stockholders’ equity | US$ in thousands | 362,508 | 390,792 | 462,962 | 443,247 | 436,056 | 383,512 | 360,948 | 416,793 | 412,396 | 393,661 | 311,112 | -2,743 | -3,286 | -4,758 | -4,919 | -6,209 | -2,495 | -2,337 | -2,586 | -3,266 |
| Financial leverage ratio | 5.73 | 5.46 | 4.64 | 4.82 | 4.61 | 5.66 | 5.82 | 5.01 | 4.89 | 5.32 | 6.26 | — | — | — | — | — | — | — | — | — |
February 3, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,076,230K ÷ $362,508K
= 5.73
The financial leverage ratio of Designer Brands Inc has fluctuated over the past few years, ranging from a low of 4.61 to a high of 6.26. This ratio measures the company's use of debt to finance its operations and indicates its level of financial risk. A higher financial leverage ratio suggests that the company is relying more on debt to fund its growth and operations, which can increase the risk of financial distress in times of economic downturns or changes in interest rates.
The trend in Designer Brands Inc's financial leverage ratio shows variation, indicating changes in the company's capital structure and financing strategies over time. It is important to monitor this ratio closely to assess the company's ability to meet its debt obligations and manage its overall financial health. In this case, the company experienced a peak in its financial leverage ratio at 6.26, which might indicate a period when it took on significant debt compared to its equity. It then decreased to 4.61, pointing towards a possible deleveraging or restructuring of its debt levels. Monitoring changes in the financial leverage ratio can provide valuable insights into the company's risk profile and financial stability.
Peer comparison
Feb 3, 2024