The TJX Companies Inc (TJX)

Debt-to-capital 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	2,862,000	2,900,000	2,861,000	2,860,000	2,859,000	2,858,000	2,857,000	3,356,000	3,355,000	3,353,870	3,352,890	5,334,860	5,300,000	5,447,210	5,445,320	7,192,410	2,200,000	2,235,870	2,235,120	2,234,370
Total stockholders’ equity	US$ in thousands	7,302,000	6,833,000	6,608,000	6,422,000	6,364,000	5,665,000	5,397,000	5,595,000	6,003,000	6,444,770	6,406,380	6,139,210	5,833,000	5,566,760	4,660,570	4,739,220	5,948,000	5,542,530	5,302,610	5,131,900
Debt-to-capital ratio		0.28	0.30	0.30	0.31	0.31	0.34	0.35	0.37	0.36	0.34	0.34	0.46	0.48	0.49	0.54	0.60	0.27	0.29	0.30	0.30

February 3, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $2,862,000K ÷ ($2,862,000K + $7,302,000K)
= 0.28

The debt-to-capital ratio of The TJX Companies Inc has exhibited fluctuations over the past 20 reported periods, ranging from a low of 0.27 to a high of 0.60. The ratio calculates the proportion of the company's total debt to its total capital, including both debt and equity.

The trend in the debt-to-capital ratio indicates that the company's reliance on debt as a funding source relative to its total capital has varied. A decreasing ratio generally signifies a lower level of debt relative to total capital, which could indicate a stronger financial position with less financial risk. Conversely, an increasing ratio suggests an increasing level of debt relative to total capital, potentially increasing financial risk.

It is important to note that a debt-to-capital ratio of 0.28 to 0.37 indicates that The TJX Companies Inc has maintained a moderately conservative approach to its capital structure over the periods analyzed. Monitoring this ratio over time can provide insights into the company's financial health, risk exposure, and capital allocation strategies.