Ulta Beauty Inc (ULTA)

Financial leverage 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
Total assets	US$ in thousands	5,707,010	5,595,010	5,248,760	5,375,720	5,370,410	5,331,550	4,945,990	5,012,040	4,764,380	5,287,770	4,954,580	5,087,540	5,089,970	4,870,990	5,497,120	5,530,550	4,863,870	4,928,850	4,710,380	4,766,350
Total stockholders’ equity	US$ in thousands	2,279,330	2,028,540	2,051,880	2,018,070	1,959,810	1,922,260	1,769,070	1,745,620	1,535,370	1,986,800	1,879,810	1,844,720	1,999,550	1,854,440	1,770,790	1,753,960	1,902,090	1,847,160	1,839,450	1,941,570
Financial leverage ratio		2.50	2.76	2.56	2.66	2.74	2.77	2.80	2.87	3.10	2.66	2.64	2.76	2.55	2.63	3.10	3.15	2.56	2.67	2.56	2.45

February 3, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $5,707,010K ÷ $2,279,330K
= 2.50

The financial leverage ratio of Ulta Beauty Inc has displayed some fluctuations over the past several quarters. The ratio measures the proportion of the company's total assets that are financed by its creditors rather than shareholders.

From February 2023 to January 2024, the financial leverage ratio ranged from 2.50 to 3.10. The highest ratio of 3.10 occurred in both January and May 2022, indicating a higher level of debt relative to total assets during those periods. This suggests that the company relied more on debt financing to fund its operations and investments.

On the other hand, the lowest ratio of 2.45 was recorded in May 2019. This lower ratio indicates a lower proportion of debt in the company's capital structure compared to its equity.

Overall, the trend in the financial leverage ratio for Ulta Beauty Inc has shown some volatility, with fluctuations potentially reflecting changes in the company's financing decisions or capital structure over the periods analyzed. Investors and analysts may want to further investigate the reasons behind these fluctuations to assess the company's financial risk and stability.