Dollar Tree Inc (DLTR)
Financial leverage ratio
| Jan 31, 2025 | Feb 3, 2024 | Jan 31, 2024 | Jan 31, 2023 | Jan 28, 2023 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 18,644,000 | 22,023,500 | 22,023,500 | 23,022,100 | 23,022,100 |
| Total stockholders’ equity | US$ in thousands | 3,977,400 | 7,313,100 | 7,313,100 | 8,751,500 | 8,751,500 |
| Financial leverage ratio | 4.69 | 3.01 | 3.01 | 2.63 | 2.63 |
January 31, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $18,644,000K ÷ $3,977,400K
= 4.69
The financial leverage ratio of Dollar Tree Inc has shown an upward trend over the past few years, indicating an increase in the company's reliance on debt to finance its operations and investments. From 2.63 in January 2023 and 2024, the ratio has increased to 3.01 in January and February 2024, and further to 4.69 by January 2025. This suggests that Dollar Tree Inc has been taking on more debt relative to its equity, potentially increasing its financial risk. Investors and stakeholders may want to closely monitor this trend to assess the company's ability to meet its financial obligations and manage its debt levels effectively.
Peer comparison
Jan 31, 2025