Target Corporation (TGT)
Financial leverage ratio
| Feb 1, 2025 | Nov 2, 2024 | Aug 3, 2024 | May 4, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 57,769,000 | 58,531,000 | 55,995,000 | 55,117,000 | 55,356,000 | 56,229,000 | 53,206,000 | 52,150,000 | 53,335,000 | 55,615,000 | 52,470,000 | 50,842,000 | 53,811,000 | 54,411,000 | 51,385,000 | 50,471,000 | 51,248,000 | 50,661,000 | 48,000,000 | 44,806,000 |
| Total stockholders’ equity | US$ in thousands | 14,666,000 | 14,489,000 | 14,429,000 | 13,840,000 | 13,432,000 | 12,514,000 | 11,990,000 | 11,605,000 | 11,232,000 | 11,019,000 | 10,592,000 | 10,774,000 | 12,827,000 | 13,803,000 | 14,860,000 | 14,959,000 | 14,440,000 | 13,319,000 | 12,578,000 | 11,169,000 |
| Financial leverage ratio | 3.94 | 4.04 | 3.88 | 3.98 | 4.12 | 4.49 | 4.44 | 4.49 | 4.75 | 5.05 | 4.95 | 4.72 | 4.20 | 3.94 | 3.46 | 3.37 | 3.55 | 3.80 | 3.82 | 4.01 |
February 1, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $57,769,000K ÷ $14,666,000K
= 3.94
Target Corporation's financial leverage ratio has fluctuated over the past several years, ranging from a high of 5.05 in October 2022 to a low of 3.37 in May 2021. The trend in the financial leverage ratio shows an increase from 3.37 in May 2021 to 5.05 in October 2022, indicating an increase in the company's financial leverage during this period. Subsequently, the ratio decreased to 3.94 in February 2025.
A financial leverage ratio of 5.05 in October 2022 suggests that Target Corporation was relying more on debt to finance its operations and growth at that time. A higher ratio generally indicates higher financial risk due to the increased dependency on debt funding, which can lead to higher interest payments and potential financial instability.
On the other hand, a lower financial leverage ratio reflects a lower level of debt compared to equity in the company's capital structure. A ratio of 3.37 in May 2021 suggests a more conservative financial leverage position, with less reliance on debt financing.
Overall, Target Corporation's financial leverage ratio has shown some volatility, but it is important for investors and analysts to closely monitor this ratio to assess the company's solvency and financial risk management strategies.
Peer comparison
Feb 1, 2025