Ross Stores Inc (ROST)

Debt-to-equity 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
Long-term debt	US$ in thousands	2,211,020	2,210,070	2,458,620	2,457,560	2,456,510	2,455,460	2,454,410	2,453,370	2,452,320	2,451,280	2,450,240	2,449,210	2,448,180	2,512,040	2,286,300	2,285,610	312,891	312,778	312,665	312,552
Total stockholders’ equity	US$ in thousands	4,871,330	4,582,960	4,454,740	4,310,400	4,288,580	4,147,000	4,126,950	4,053,900	4,060,050	3,983,220	3,903,990	3,652,820	3,290,640	3,019,040	2,867,200	2,817,390	3,359,250	3,276,780	3,296,260	3,267,530
Debt-to-equity ratio		0.45	0.48	0.55	0.57	0.57	0.59	0.59	0.61	0.60	0.62	0.63	0.67	0.74	0.83	0.80	0.81	0.09	0.10	0.09	0.10

February 3, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $2,211,020K ÷ $4,871,330K
= 0.45

The debt-to-equity ratio of Ross Stores Inc has shown some fluctuations over the past several quarters. The ratio has ranged from 0.45 to 0.83 during the period under review. Generally, a lower debt-to-equity ratio indicates lower financial risk and signifies that the company relies more on equity financing rather than debt to fund its operations.

Ross Stores Inc's debt-to-equity ratio has been relatively stable, with a slight upward trend in recent quarters. The ratio peaked at 0.83 in October 2020 and has since been hovering around the 0.60 to 0.80 range. This suggests that while the company has been using some level of debt to finance its operations, it has also maintained a significant proportion of equity in its capital structure.

It is advisable for Ross Stores Inc to continue monitoring and managing its debt levels to ensure that it remains within a comfortable range and does not pose excessive financial risk to the company. Overall, the trend in the debt-to-equity ratio indicates a balanced approach to financing, with a mix of debt and equity to support the company's growth and operational needs.