Ollie's Bargain Outlet Hldg (OLLI)

Ollie's Bargain Outlet Hldg demonstrates a strong solvency position based on its solvency ratios. The company has consistently maintained a Debt-to-assets ratio, Debt-to-capital ratio, and Debt-to-equity ratio of 0.00 across multiple periods, indicating that it operates with minimal debt relative to its assets, capital, and equity. This low leverage suggests a conservative financial structure and a lower risk of financial distress.

Additionally, the Financial leverage ratio has remained relatively stable around 1.50 to 1.52 over the years, indicating that the company's assets are financed primarily by equity rather than debt. A Financial leverage ratio close to 1 implies a balanced capital structure and a lower reliance on borrowed funds to support operations.

Overall, Ollie's Bargain Outlet Hldg's solvency ratios point to a financially sound and stable business, with a comfortable cushion against financial risk due to its low debt levels and prudent capital management.

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Coverage ratios

The interest coverage ratio measures a company's ability to cover its interest expenses with its operating income. Looking at the historical data for Ollie's Bargain Outlet Hldg, we can see that the interest coverage ratios have varied significantly over the years:

- As of January 28, 2023, the interest coverage ratio was very strong at 511.40, indicating that the company's operating income was more than sufficient to cover its interest payments.
- By January 31, 2023, the interest coverage ratio had decreased to 45.15, which may suggest a decline in the company's operating income relative to its interest expenses.
- The ratio further decreased to 16.51 as of January 31, 2024, indicating a potential strain on the company's ability to cover its interest payments with its operating income.
- However, by February 3, 2024, the interest coverage ratio improved significantly to 853.18, showing a substantial increase in the company's ability to cover its interest expenses.
- Unfortunately, the data is missing for January 31, 2025, so we cannot provide an analysis for that period.

Overall, the fluctuation in Ollie's Bargain Outlet Hldg interest coverage ratios highlights the importance of monitoring the company's financial performance and its ability to generate enough operating income to meet its interest obligations.