Target Corporation (TGT)
Working capital turnover
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 106,930,000 | 108,661,000 | 105,937,000 | 92,087,000 | 77,638,000 |
| Total current assets | US$ in thousands | 17,498,000 | 17,846,000 | 21,573,000 | 20,756,000 | 12,902,000 |
| Total current liabilities | US$ in thousands | 19,304,000 | 19,500,000 | 21,747,000 | 20,125,000 | 14,487,000 |
| Working capital turnover | — | — | — | 145.94 | — |
February 3, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $106,930,000K ÷ ($17,498,000K – $19,304,000K)
= —
The data provided shows that Target Corporation did not have working capital turnover values available for the fiscal years ending on February 3, 2024, January 28, 2023, and February 1, 2020. However, for the fiscal years ending on January 29, 2022, and January 30, 2021, the working capital turnover ratios were 145.94 and - respectively.
The working capital turnover ratio measures how efficiently a company is utilizing its working capital to generate sales revenue. A higher ratio indicates more efficient utilization of working capital, while a lower ratio suggests inefficiency or possible liquidity issues.
The significant ratio of 145.94 for the fiscal year ending on January 29, 2022, indicates that Target Corporation was able to generate $145.94 in sales revenue for every dollar of working capital invested during that period. This suggests a highly efficient use of working capital to drive business operations and sales growth.
Without the working capital turnover ratio available for the fiscal year ending on January 30, 2021, it is challenging to assess the trend or performance compared to the previous year. However, a positive ratio typically signifies effective management of working capital to support business operations and generate revenues.
It would be valuable to monitor future working capital turnover ratios to identify trends and assess Target Corporation's ongoing efficiency in utilizing its working capital resources to drive sales and profitability.
Peer comparison
Feb 3, 2024