Foot Locker Inc (FL)
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 | 6,868,000 | 7,420,000 | 7,536,000 | 7,643,000 | 7,907,000 | 7,762,000 | 7,868,000 | 7,878,000 | 8,135,000 | 8,211,000 | 7,585,000 | 7,442,000 | 7,043,000 | 7,018,000 | 6,912,000 | 6,796,000 | 6,589,000 | 6,621,000 | 6,720,000 | 6,928,000 |
| Total stockholders’ equity | US$ in thousands | 2,890,000 | 3,205,000 | 3,247,000 | 3,283,000 | 3,293,000 | 3,259,000 | 3,217,000 | 3,215,000 | 3,243,000 | 3,342,000 | 3,341,000 | 2,930,000 | 2,776,000 | 2,652,000 | 2,403,000 | 2,314,000 | 2,473,000 | 2,427,000 | 2,512,000 | 2,602,000 |
| Financial leverage ratio | 2.38 | 2.32 | 2.32 | 2.33 | 2.40 | 2.38 | 2.45 | 2.45 | 2.51 | 2.46 | 2.27 | 2.54 | 2.54 | 2.65 | 2.88 | 2.94 | 2.66 | 2.73 | 2.68 | 2.66 |
February 3, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $6,868,000K ÷ $2,890,000K
= 2.38
The financial leverage ratio of Foot Locker Inc has fluctuated over the period under consideration. The ratio, which measures the extent to which the company relies on debt to finance its operations, has shown a general upward trend from 2.27 in July 2021 to 2.94 in August 2020, indicating an increasing level of financial leverage during this period.
However, after reaching its peak in August 2020, the ratio started to decline gradually, reaching 2.32 in October 2023. This indicates that the company may have reduced its reliance on debt to fund its activities. The fluctuations in the financial leverage ratio suggest that Foot Locker Inc has been actively managing its debt levels during the period in question.
It's important to note that a high financial leverage ratio can signify higher financial risk due to increased debt obligations, while a lower ratio indicates a lower reliance on debt financing. Investors and analysts closely monitor changes in the financial leverage ratio as it can provide insights into a company's financial health and risk profile.
Peer comparison
Feb 3, 2024