Victoria's Secret & Co (VSCO)
Debt-to-equity ratio
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | ||
|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,120,000 | 1,271,000 | 978,000 |
| Total stockholders’ equity | US$ in thousands | 417,000 | 383,000 | 257,000 |
| Debt-to-equity ratio | 2.69 | 3.32 | 3.81 |
February 3, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,120,000K ÷ $417,000K
= 2.69
The debt-to-equity ratio of Victoria's Secret & Co has shown a declining trend over the past three years, decreasing from 3.81 in January 2022 to 2.69 in February 2024. This indicates that the company's reliance on debt financing in relation to equity has decreased over the period, suggesting a potential improvement in its financial leverage and stability. A lower debt-to-equity ratio generally signifies a lower level of financial risk and better solvency. It is essential for investors and creditors to monitor this ratio to assess the company's ability to meet its financial obligations and manage its debt effectively.
Peer comparison
Feb 3, 2024