The Gap, Inc. (GAP)
Current ratio
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 4,395,000 | 4,617,000 | 5,165,000 | 6,008,000 | 4,516,000 |
| Total current liabilities | US$ in thousands | 3,096,000 | 3,256,000 | 4,077,000 | 3,884,000 | 3,209,000 |
| Current ratio | 1.42 | 1.42 | 1.27 | 1.55 | 1.41 |
February 3, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $4,395,000K ÷ $3,096,000K
= 1.42
The current ratio of The Gap, Inc. has shown some variation over the past five years. As of February 3, 2024, the current ratio stands at 1.42, which is the same as the previous year. This indicates that the company's current assets are 1.42 times its current liabilities, suggesting a healthy liquidity position.
Comparing this to prior years, there was a slight decrease from 1.55 in January 2022 to 1.27 in January 2023, before recovering to the current level. Despite some fluctuations, the current ratio has generally been above 1, which implies that The Gap, Inc. has had more than enough current assets to cover its short-term obligations in recent years.
Overall, a current ratio of 1.42 as of February 3, 2024, indicates that The Gap, Inc. remains in a solid financial position in terms of its ability to meet its current liabilities with its current assets.
Peer comparison
Feb 3, 2024