Movado Group Inc (MOV)
Solvency ratios
| Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.01 | 0.03 | 0.05 | 0.07 | 0.12 | 0.06 | 0.06 | 0.06 | 0.06 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.02 | 0.05 | 0.09 | 0.11 | 0.18 | 0.09 | 0.09 | 0.09 | 0.09 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.02 | 0.05 | 0.10 | 0.13 | 0.22 | 0.10 | 0.10 | 0.10 | 0.10 |
| Financial leverage ratio | 1.49 | 1.53 | 1.50 | 1.51 | 1.55 | 1.62 | 1.63 | 1.61 | 1.61 | 1.63 | 1.64 | 1.63 | 1.69 | 1.80 | 1.82 | 1.89 | 1.61 | 1.67 | 1.68 | 1.69 |
Movado Group Inc's solvency ratios over the past few years indicate a consistently low level of debt relative to its assets, capital, and equity. The debt-to-assets, debt-to-capital, and debt-to-equity ratios have all been at negligible levels, indicating that the company has little reliance on debt to finance its operations and investments. The financial leverage ratio has also been relatively stable, with the company maintaining a moderate level of financial leverage.
Overall, Movado Group Inc appears to have a strong solvency position with minimal financial risk associated with debt obligations. This low level of debt suggests that the company has a solid financial structure and is able to support its operations primarily through equity and retained earnings. Investors and creditors may view this positively as it reduces the risk of financial distress and indicates a stable financial foundation.
Coverage ratios
| Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 120.42 | 137.19 | 164.92 | 206.19 | 231.47 | 283.65 | 297.07 | 245.06 | 170.08 | 97.85 | 56.08 | 27.66 | -71.85 | -92.58 | -117.96 | -131.27 | 63.22 | 72.66 | 82.40 | 76.73 |
Movado Group Inc's interest coverage ratio has fluctuated significantly over the past few quarters. The interest coverage ratio measures the company's ability to meet its interest payments on outstanding debt. A higher ratio indicates the company is more capable of paying its interest expenses.
Based on the data provided, we can see that Movado Group Inc's interest coverage ratio has ranged from -131.27 to 297.07 over the past several quarters. The company experienced a significant improvement in its interest coverage from negative ratios in early 2021 to above 200 in mid-2023. This improvement indicates that Movado Group Inc was able to substantially increase its earnings relative to its interest expenses during this period.
However, it's worth noting that the interest coverage ratio declined in the most recent quarter compared to the previous quarter. Despite this decrease, the current ratio of 120.42 still indicates that Movado Group Inc's earnings are sufficient to cover its interest payments comfortably.
Overall, Movado Group Inc's interest coverage has shown some volatility but has generally been on an upward trend, reflecting the company's ability to manage its debt obligations effectively. Investors and creditors may view this positively as it suggests improved financial stability and a reduced risk of default due to insufficient cash flow to cover interest expenses.