Dollar Tree Inc (DLTR)

Debt-to-equity 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
Long-term debt	US$ in thousands	3,426,300	3,425,100	3,423,900	3,422,700	3,421,600	3,420,400	3,419,300	3,418,100	3,417,000	3,231,100	3,229,500	3,227,800	3,226,200	3,225,300	3,224,300	3,223,300	3,522,200	3,520,200	3,518,600	3,516,900
Total stockholders’ equity	US$ in thousands	7,313,100	8,998,200	9,031,000	8,899,700	8,751,500	8,275,300	8,396,500	8,241,500	7,718,500	7,244,400	7,011,700	7,411,300	7,285,300	6,961,100	6,813,600	6,520,600	6,254,800	6,121,300	5,865,700	5,755,900
Debt-to-equity ratio		0.47	0.38	0.38	0.38	0.39	0.41	0.41	0.41	0.44	0.45	0.46	0.44	0.44	0.46	0.47	0.49	0.56	0.58	0.60	0.61

February 3, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $3,426,300K ÷ $7,313,100K
= 0.47

The debt-to-equity ratio of Dollar Tree Inc has shown a fluctuating trend over the past few years, ranging from 0.38 to 0.61. A lower debt-to-equity ratio indicates that the company relies more on equity financing rather than debt, which can be viewed positively as it signifies lower financial risk.

The ratio was at its lowest point of 0.38 in October 2023 and July 2023, indicating a conservative debt structure during that period. However, the ratio increased to 0.61 in May 2019, which suggests a higher reliance on debt financing at that time.

Overall, Dollar Tree Inc has maintained a relatively moderate debt-to-equity ratio, with the most recent ratio standing at 0.47 as of February 3, 2024. This indicates a balanced mix of debt and equity in the company's capital structure, providing a stable foundation for its financial operations.