The TJX Companies Inc (TJX)
Current ratio
| Jan 31, 2025 | Nov 2, 2024 | Aug 3, 2024 | May 4, 2024 | Feb 3, 2024 | Oct 31, 2023 | Oct 28, 2023 | Jul 31, 2023 | Jul 29, 2023 | Apr 30, 2023 | Apr 29, 2023 | Jan 31, 2023 | Jan 28, 2023 | Oct 31, 2022 | Oct 29, 2022 | Jul 31, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 31, 2022 | Jan 29, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 12,991,000 | 14,352,000 | 12,890,000 | 12,409,000 | 12,664,000 | 13,806,000 | 13,806,000 | 12,338,000 | 12,338,000 | 12,595,000 | 12,595,000 | 12,456,000 | 12,456,000 | 12,988,800 | 12,989,000 | 11,834,800 | 11,835,000 | 12,480,200 | 13,259,000 | 13,259,000 |
| Total current liabilities | US$ in thousands | 11,008,000 | 12,017,000 | 10,621,000 | 10,100,000 | 10,451,000 | 11,640,000 | 11,640,000 | 10,317,000 | 10,317,000 | 10,534,000 | 10,534,000 | 10,305,000 | 10,305,000 | 11,233,600 | 11,234,000 | 10,147,100 | 10,147,000 | 10,018,500 | 10,468,000 | 10,468,000 |
| Current ratio | 1.18 | 1.19 | 1.21 | 1.23 | 1.21 | 1.19 | 1.19 | 1.20 | 1.20 | 1.20 | 1.20 | 1.21 | 1.21 | 1.16 | 1.16 | 1.17 | 1.17 | 1.25 | 1.27 | 1.27 |
January 31, 2025 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $12,991,000K ÷ $11,008,000K
= 1.18
The current ratio of The TJX Companies Inc has shown relatively stable performance over the past few years, hovering around the 1.20 mark. The current ratio indicates the company's ability to meet its short-term obligations with its current assets. A current ratio of 1.20 means that for every dollar of current liabilities, the company has $1.20 of current assets available to cover those obligations.
While a current ratio above 1.0 generally suggests a strong liquidity position, the downward trend seen from 2022 to 2025, dropping from 1.27 to 1.18, raises some concerns. It suggests a slight deterioration in the company's ability to cover its short-term liabilities with its current assets. However, the current ratio remains above 1.0 throughout, indicating that the company is still able to meet its short-term obligations comfortably.
It's important for stakeholders to monitor the trend of the current ratio over time to ensure that the company's liquidity position remains healthy and that it can continue to meet its financial obligations as they come due. Further analysis of the individual components of current assets and liabilities may provide additional insights into the company's liquidity management.
Peer comparison
Jan 31, 2025