Macy’s Inc (M)
Return on total capital
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 387,000 | 1,136,000 | 1,218,000 | 1,501,000 | 1,692,000 | 2,040,000 | 2,219,000 | 2,342,000 | 2,122,000 | 1,495,000 | 1,011,000 | -178,000 | -4,505,000 | -4,409,000 | -4,220,000 | -3,393,000 | 932,000 | 1,460,000 | 1,546,000 | 1,646,000 |
| Long-term debt | US$ in thousands | 2,706,000 | 2,325,000 | 2,482,000 | 2,468,000 | 2,555,000 | 2,371,000 | 2,506,000 | 2,675,000 | 3,254,000 | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 4,137,000 | 4,144,000 | 4,210,000 | 4,170,000 | 4,082,000 | 3,475,000 | 3,531,000 | 3,278,000 | 3,621,000 | 3,008,000 | 3,146,000 | 2,675,000 | 2,553,000 | 2,243,000 | 2,324,000 | 2,697,000 | 6,377,000 | 6,057,000 | 6,315,000 | 6,323,000 |
| Return on total capital | 5.66% | 17.56% | 18.20% | 22.61% | 25.49% | 34.90% | 36.76% | 39.34% | 30.87% | 49.70% | 32.14% | -6.65% | -176.46% | -196.57% | -181.58% | -125.81% | 14.62% | 24.10% | 24.48% | 26.03% |
February 3, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $387,000K ÷ ($2,706,000K + $4,137,000K)
= 5.66%
Macy's Inc's return on total capital has exhibited significant fluctuations over the past few years, as indicated by the data provided. The return on total capital ranged from a low of -196.57% on January 30, 2021, to a high of 49.70% on October 30, 2021.
The company's return on total capital has shown some volatility, with positive returns in most periods, but with some notable exceptions of negative returns, particularly in the first half of 2021. It is worth noting that negative returns on total capital, such as the -176.46% and -196.57% figures, indicate the company's capital being insufficient to cover its losses during those periods.
Overall, Macy's Inc's return on total capital has demonstrated both strong performance, as seen in the higher percentages in more recent periods, but also periods of underperformance, as evidenced by the negative figures. This suggests fluctuations in the company's profitability relative to the total capital employed in its operations. Continued monitoring and analysis of this ratio will be essential to understand the company's financial health and performance in the future.
Peer comparison
Feb 3, 2024