Ulta Beauty Inc (ULTA)

Current ratio

		Jan 31, 2025	Oct 31, 2024	Jul 31, 2024	Apr 30, 2024	Feb 3, 2024	Jan 31, 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
Total current assets	US$ in thousands	3,028,810	2,954,860	2,798,740	2,760,630	2,836,520	2,836,520	2,792,040	2,792,040	2,519,250	2,519,250	2,685,980	2,685,980	2,709,300	2,709,300	2,745,820	2,745,820	2,442,910	2,442,910	2,531,870	2,281,180
Total current liabilities	US$ in thousands	1,779,480	1,816,410	1,591,230	1,572,720	1,658,190	1,658,190	1,836,940	1,836,940	1,491,170	1,491,170	1,633,900	1,633,900	1,681,780	1,681,780	1,697,770	1,697,770	1,502,050	1,502,050	1,599,750	1,558,010
Current ratio		1.70	1.63	1.76	1.76	1.71	1.71	1.52	1.52	1.69	1.69	1.64	1.64	1.61	1.61	1.62	1.62	1.63	1.63	1.58	1.46

January 31, 2025 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $3,028,810K ÷ $1,779,480K
= 1.70

Ulta Beauty Inc's current ratio has shown a fluctuating trend over the reported periods, ranging from 1.46 to 1.76. The current ratio indicates the company's ability to meet its short-term obligations with its current assets.

The current ratio was fairly stable around 1.6 for a considerable period, suggesting the company had a comfortable position to cover its short-term liabilities. A ratio below 1 would indicate that the company may have difficulties meeting its current obligations, while a ratio significantly above 1 implies excess current assets that could potentially be utilized more efficiently.

The current ratio increased towards the end of the reporting period, reaching 1.70 and 1.76, indicating an improvement in liquidity and the ability to meet short-term obligations more comfortably. However, it dropped back to 1.63 in the latest reported period, which might warrant further monitoring to understand the evolving liquidity position of Ulta Beauty Inc.