Dick’s Sporting Goods Inc (DKS)
Activity ratios
Short-term
Turnover ratios
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 4.18 | 3.56 | 4.05 | 3.72 | 3.92 | 3.15 | 3.43 | 3.62 | 4.50 | 4.14 | 5.04 | 4.89 | 4.53 | 3.69 | 4.43 | 3.85 | 3.82 | 3.20 | 3.80 | 3.74 |
| Receivables turnover | 109.41 | 84.42 | 81.75 | 83.45 | 154.58 | 131.92 | 140.26 | 154.27 | 174.36 | 133.35 | 130.71 | 159.06 | 160.32 | 116.99 | 114.93 | 80.84 | 164.59 | 122.53 | 133.07 | 161.27 |
| Payables turnover | 9.24 | 7.16 | 8.74 | 9.25 | 9.20 | 7.18 | 6.90 | 6.86 | 8.07 | 7.36 | 8.35 | 7.95 | 7.03 | 6.13 | 7.59 | 9.57 | 8.40 | 7.49 | 8.94 | 8.61 |
| Working capital turnover | 6.09 | 6.47 | 5.59 | 5.14 | 5.29 | 5.41 | 5.16 | 4.90 | 5.12 | 8.73 | 6.31 | 7.65 | 7.89 | 8.97 | 10.61 | 4.18 | 26.24 | 10.86 | 15.78 | 14.46 |
Inventory turnover measures how efficiently a company manages its inventory by indicating how many times a company sells and replaces its inventory during a specific period. Dick’s Sporting Goods Inc's inventory turnover ratio has shown a general improvement trend over the past few quarters, increasing from 3.15 to 4.18. This suggests that the company is managing its inventory more efficiently and selling goods at a faster rate.
Receivables turnover measures how efficient a company is in collecting its accounts receivable from customers. Dick’s Sporting Goods Inc's receivables turnover ratio has been fluctuating over the quarters, with a notable spike in the second quarter of 2023. Overall, the company has been able to collect its receivables more effectively during certain periods compared to others.
Payables turnover reflects how quickly a company is paying its suppliers. Dick’s Sporting Goods Inc's payables turnover ratio has remained relatively stable over the quarters, suggesting the company has been consistent in managing its payments to suppliers.
Working capital turnover is a measure of how efficiently a company utilizes its working capital to generate sales. Dick’s Sporting Goods Inc's working capital turnover ratio has been fluctuating significantly over the quarters, with a notable peak in the fourth quarter of 2021. This indicates that the company has managed to generate sales using its working capital more effectively in certain periods.
Overall, Dick’s Sporting Goods Inc's activity ratios reflect varying levels of efficiency in managing its inventory, collecting receivables, paying suppliers, and utilizing working capital over the analyzed quarters. It is important for the company to continue monitoring and improving these ratios to enhance operational efficiency and financial performance.
Average number of days
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 87.31 | 102.58 | 90.15 | 98.13 | 93.09 | 115.96 | 106.44 | 100.76 | 81.10 | 88.26 | 72.40 | 74.57 | 80.60 | 99.03 | 82.45 | 94.69 | 95.59 | 114.24 | 96.17 | 97.48 |
| Days of sales outstanding (DSO) | days | 3.34 | 4.32 | 4.46 | 4.37 | 2.36 | 2.77 | 2.60 | 2.37 | 2.09 | 2.74 | 2.79 | 2.29 | 2.28 | 3.12 | 3.18 | 4.52 | 2.22 | 2.98 | 2.74 | 2.26 |
| Number of days of payables | days | 39.50 | 50.95 | 41.75 | 39.46 | 39.66 | 50.83 | 52.91 | 53.22 | 45.23 | 49.60 | 43.69 | 45.94 | 51.91 | 59.54 | 48.11 | 38.15 | 43.48 | 48.72 | 40.81 | 42.42 |
Days of inventory on hand (DOH) measures how many days it takes for Dick’s Sporting Goods Inc to sell its inventory. A lower number indicates efficient inventory management. The trend for DOH fluctuates over the periods, ranging from a low of 72.40 days to a high of 115.96 days, indicating some variability in inventory management efficiency.
Days of sales outstanding (DSO) shows the average number of days it takes for the company to collect payment after a sale is made. Lower DSO indicates faster cash collection. The DSO values for Dick’s Sporting Goods Inc vary over time, with a range from 2.09 days to 4.52 days, suggesting some inconsistency in the collection of receivables.
Number of days of payables reflects how long the company takes to pay its suppliers. A higher number may imply better cash flow management. The trend in the days of payables also fluctuates, with values ranging from 38.15 days to 59.54 days, indicating variability in the company's payment practices.
Overall, Dick’s Sporting Goods Inc's activity ratios show fluctuations in inventory management, receivables collection, and payment practices over the periods analyzed. Further analysis and comparison with industry norms would provide a more comprehensive understanding of the company's efficiency in managing its working capital.
Long-term
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | 7.95 | 8.06 | 8.26 | 9.06 | 9.36 | 8.97 | 8.96 | 9.21 | 9.28 | 9.15 | 8.83 | 8.43 | 7.34 | 6.76 | 6.38 | 5.95 | 6.18 | 6.01 | 5.76 | 5.71 |
| Total asset turnover | 1.40 | 1.36 | 1.34 | 1.37 | 1.37 | 1.34 | 1.31 | 1.30 | 1.35 | 1.50 | 1.39 | 1.38 | 1.23 | 1.19 | 1.20 | 1.03 | 1.32 | 1.20 | 1.23 | 1.22 |
Over the past 20 quarters, Dick’s Sporting Goods Inc has shown a relatively stable trend in its long-term activity ratios. The fixed asset turnover ratio, which measures the efficiency of utilizing fixed assets to generate sales, has remained consistently high, averaging around 8 to 9 times per year. This indicates that the company is effectively generating revenue from its investments in fixed assets such as property, plant, and equipment.
In comparison, the total asset turnover ratio, which shows how efficiently the company is using all its assets to generate revenue, has also exhibited stability, fluctuating around 1.30 to 1.40. This suggests that Dick’s Sporting Goods Inc is able to generate a moderate level of sales relative to its total assets over the analyzed period.
Overall, the company's long-term activity ratios indicate a strong operational efficiency and effective use of assets to drive revenue generation. Maintaining a high fixed asset turnover ratio coupled with a stable total asset turnover ratio reflects the company's ability to optimize its asset base and drive performance in the long run.