Five Below Inc (FIVE)
Debt-to-capital ratio
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 1,584,960 | 1,361,930 | 1,120,280 | 881,886 | 759,778 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
February 3, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $1,584,960K)
= 0.00
The debt-to-capital ratio of Five Below Inc has remained consistently at 0.00 over the past five years. This indicates that the company has not used any debt financing to fund its operations and growth, relying solely on equity capital. While a low debt-to-capital ratio is generally considered favorable as it suggests lower financial risk, it is also important to note that a company with no debt may be missing out on the potential benefits of leverage. Further analysis of the company's financial structure and capital allocation strategy would be needed to fully assess the implications of this ratio.
Peer comparison
Feb 3, 2024