Science Applications International Corporation Common Stock (SAIC)
Financial leverage ratio
| Jan 31, 2025 | Nov 1, 2024 | Aug 2, 2024 | May 3, 2024 | Feb 2, 2024 | Nov 3, 2023 | Aug 4, 2023 | May 5, 2023 | Feb 3, 2023 | Oct 28, 2022 | Jul 29, 2022 | Apr 29, 2022 | Jan 28, 2022 | Oct 29, 2021 | Jul 30, 2021 | Apr 30, 2021 | Jan 29, 2021 | Oct 30, 2020 | Jul 31, 2020 | May 1, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 5,246,000 | 5,275,000 | 5,250,000 | 5,250,000 | 5,314,000 | 5,658,000 | 5,672,000 | 5,957,000 | 5,543,000 | 5,628,000 | 5,654,000 | 5,716,000 | 5,746,000 | 5,916,000 | 5,905,000 | 5,812,000 | 5,723,000 | 5,875,000 | 5,947,000 | 6,016,000 |
| Total stockholders’ equity | US$ in thousands | 1,577,000 | 1,612,000 | 1,625,000 | 1,759,000 | 1,785,000 | 1,828,000 | 1,843,000 | 1,692,000 | 1,694,000 | 1,686,000 | 1,643,000 | 1,640,000 | 1,619,000 | 1,635,000 | 1,618,000 | 1,577,000 | 1,542,000 | 1,499,000 | 1,437,000 | 1,395,000 |
| Financial leverage ratio | 3.33 | 3.27 | 3.23 | 2.98 | 2.98 | 3.10 | 3.08 | 3.52 | 3.27 | 3.34 | 3.44 | 3.49 | 3.55 | 3.62 | 3.65 | 3.69 | 3.71 | 3.92 | 4.14 | 4.31 |
January 31, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $5,246,000K ÷ $1,577,000K
= 3.33
The financial leverage ratio for Science Applications International Corporation Common Stock has shown a general decreasing trend over the analyzed period. The ratio started at 4.31 on May 1, 2020, and gradually decreased to 3.33 by January 31, 2025.
A decreasing financial leverage ratio indicates that the company has been relying less on debt to finance its operations and growth. This could imply a strengthening financial position as lower leverage ratios usually suggest lower financial risk and greater solvency.
However, it is important to note that a very low financial leverage ratio may also indicate underutilization of debt capital which could potentially limit the company's growth opportunities. Therefore, it is essential for the company to strike a balance between debt and equity financing to optimize its capital structure and maximize shareholder value.
Overall, based on the decreasing trend in the financial leverage ratio of Science Applications International Corporation Common Stock, it appears that the company has been managing its debt levels effectively and improving its financial stability over the analyzed period.
Peer comparison
Jan 31, 2025