Vail Resorts Inc (MTN)
Financial leverage ratio
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 5,698,440 | 5,947,750 | 6,318,030 | 6,251,060 | 5,244,230 |
| Total stockholders’ equity | US$ in thousands | 723,537 | 1,003,950 | 1,612,440 | 1,594,600 | 1,316,740 |
| Financial leverage ratio | 7.88 | 5.92 | 3.92 | 3.92 | 3.98 |
July 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $5,698,440K ÷ $723,537K
= 7.88
The financial leverage ratio of Vail Resorts Inc has been on an upward trend over the past five years, increasing from 3.98 in July 2020 to 7.88 in July 2024. This indicates that the company's reliance on debt to finance its operations and growth has been progressively rising. A higher financial leverage ratio suggests a higher level of financial risk and potential volatility in earnings due to increased debt obligations. It is important for investors and stakeholders to monitor this trend closely to assess the company's ability to effectively manage its debt levels and maintain financial stability.
Peer comparison
Jul 31, 2024