RH (RH)
Financial leverage ratio
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 4,143,900 | 4,240,620 | 4,212,830 | 5,319,830 | 5,309,290 | 5,883,720 | 5,831,450 | 5,887,940 | 5,540,470 | 5,420,020 | 3,467,150 | 3,237,320 | 2,898,310 | 2,679,250 | 2,506,410 | 2,429,890 | 2,445,690 | 2,362,010 | 2,387,810 | 2,545,830 |
| Total stockholders’ equity | US$ in thousands | -297,394 | -333,214 | -284,582 | 839,386 | 784,661 | 1,293,950 | 1,220,240 | 1,341,790 | 1,170,280 | 1,007,800 | 806,343 | 594,462 | 447,026 | 296,869 | 128,491 | 19,132 | 18,651 | -63,220 | -177,918 | -247,373 |
| Financial leverage ratio | — | — | — | 6.34 | 6.77 | 4.55 | 4.78 | 4.39 | 4.73 | 5.38 | 4.30 | 5.45 | 6.48 | 9.03 | 19.51 | 127.01 | 131.13 | — | — | — |
February 3, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $4,143,900K ÷ $-297,394K
= —
The financial leverage ratio for RH has fluctuated over the periods provided in the table. The ratio indicates the company's level of debt relative to its equity. In general, a high financial leverage ratio suggests a higher level of financial risk due to increased reliance on debt financing.
RH's financial leverage ratio has shown some variability, with peaks reaching as high as 131.13% and lows around 4.30%. The ratio saw a significant increase from early 2020 to mid-2020, where it jumped from 9.03% to 127.01% in a span of a few quarters, indicating a substantial increase in debt relative to equity during that period.
It is essential for investors and stakeholders to monitor RH's financial leverage ratio closely, as significant changes in this ratio could impact the company's financial stability and ability to meet its debt obligations in the long term.
Peer comparison
Feb 3, 2024