Current Ratio
since 2005
Calculation
Best Buy Co. Inc., current ratio, long-term trends, calculation
| Current ratio | = | Current assets1 | ÷ | Current liabilities1 | |
|---|---|---|---|---|---|
| Jan 29, 2022 | 0.99 | = | 10,539) | ÷ | 10,674) |
| Jan 30, 2021 | 1.19 | = | 12,540) | ÷ | 10,521) |
| Feb 1, 2020 | 1.10 | = | 8,857) | ÷ | 8,060) |
| Feb 2, 2019 | 1.18 | = | 8,870) | ÷ | 7,513) |
| Feb 3, 2018 | 1.26 | = | 9,829) | ÷ | 7,817) |
| Jan 28, 2017 | 1.48 | = | 10,516) | ÷ | 7,122) |
| Jan 30, 2016 | 1.43 | = | 9,886) | ÷ | 6,925) |
| Jan 31, 2015 | 1.51 | = | 11,729) | ÷ | 7,777) |
| Feb 1, 2014 | 1.41 | = | 10,485) | ÷ | 7,436) |
| Feb 2, 2013 | 1.11 | = | 12,047) | ÷ | 10,810) |
| Mar 3, 2012 | 1.16 | = | 10,297) | ÷ | 8,855) |
| Feb 26, 2011 | 1.21 | = | 10,473) | ÷ | 8,663) |
| Feb 27, 2010 | 1.18 | = | 10,566) | ÷ | 8,978) |
| Feb 28, 2009 | 0.97 | = | 8,192) | ÷ | 8,435) |
| Mar 1, 2008 | 1.08 | = | 7,342) | ÷ | 6,769) |
| Mar 3, 2007 | 1.44 | = | 9,081) | ÷ | 6,301) |
| Feb 25, 2006 | 1.32 | = | 7,985) | ÷ | 6,056) |
| Feb 26, 2005 | 1.39 | = | 6,903) | ÷ | 4,959) |
Based on: 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03), 10-K (reporting date: 2017-01-28), 10-K (reporting date: 2016-01-30), 10-K (reporting date: 2015-01-31), 10-K (reporting date: 2014-02-01), 10-KT (reporting date: 2013-02-02), 10-K (reporting date: 2012-03-03), 10-K (reporting date: 2011-02-26), 10-K (reporting date: 2010-02-27), 10-K (reporting date: 2009-02-28), 10-K (reporting date: 2008-03-01), 10-K (reporting date: 2007-03-03), 10-K (reporting date: 2006-02-25), 10-K (reporting date: 2005-02-26).
1 US$ in millions
The liquidity position of the entity has exhibited significant fluctuations between 2005 and 2022, characterized by periods of relative stability interrupted by notable declines. While the current ratio remained above 1.0 for the majority of the timeframe, indicating a general capacity to cover short-term obligations, two specific instances occurred where current liabilities exceeded current assets.
- Early Period and First Liquidity Trough
- From 2005 to 2007, the current ratio remained stable, ranging between 1.32 and 1.44. A sharp deterioration followed, leading to a low of 0.97 in February 2009. This decline coincided with an increase in current liabilities to 8.435 billion US$, marking the first period in the analyzed sequence where short-term liabilities surpassed current assets.
- Recovery and Peak Solvency
- A recovery phase began in 2010, with the ratio stabilizing above 1.10. The strongest liquidity position was observed between 2014 and 2017, with the current ratio peaking at 1.51 in January 2015. During this period, current assets were managed more effectively relative to current liabilities, which had decreased from 10.810 billion US$ in 2013 to 7.436 billion US$ in 2014.
- Recent Downward Trend
- From 2018 through 2022, a gradual compression of liquidity is evident. The current ratio declined from 1.26 in 2018 to 0.99 by January 2022. This recent trend is driven by a steady increase in current liabilities, which grew to 10.674 billion US$ in 2022, while current assets failed to keep pace, ending the period at 10.539 billion US$.
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Comparison to Competitors
Best Buy Co. Inc., current ratio, long-term trends, comparison to competitors
| Best Buy Co. Inc. | Amazon.com Inc. | Home Depot Inc. | Lowe’s Cos. Inc. | TJX Cos. Inc. | |
|---|---|---|---|---|---|
| Jan 29, 2022 | 0.99 | 0.94 | 1.01 | 1.02 | 1.27 |
| Jan 30, 2021 | 1.19 | 1.14 | 1.23 | 1.19 | 1.46 |
| Feb 1, 2020 | 1.10 | 1.05 | 1.08 | 1.01 | 1.24 |
| Feb 2, 2019 | 1.18 | 1.10 | 1.11 | 0.98 | 1.53 |
| Feb 3, 2018 | 1.26 | 1.10 | 1.17 | 1.06 | 1.66 |
| Jan 28, 2017 | 1.48 | 1.04 | 1.25 | 1.00 | 1.63 |
| Jan 30, 2016 | 1.43 | 1.04 | 1.36 | 1.01 | 1.54 |
| Jan 31, 2015 | 1.51 | 1.08 | 1.36 | 1.08 | 1.71 |
| Feb 1, 2014 | 1.41 | 1.12 | 1.42 | 1.16 | 1.72 |
| Feb 2, 2013 | 1.11 | 1.07 | 1.34 | 1.27 | 1.52 |
| Mar 3, 2012 | 1.16 | 1.12 | 1.55 | 1.28 | 1.68 |
| Feb 26, 2011 | 1.21 | 1.17 | 1.33 | 1.40 | 1.63 |
| Feb 27, 2010 | 1.18 | 1.33 | 1.34 | 1.32 | 1.66 |
| Feb 28, 2009 | 0.97 | 1.33 | 1.20 | 1.15 | 1.31 |
| Mar 1, 2008 | 1.08 | 1.30 | 1.15 | 1.12 | 1.45 |
| Mar 3, 2007 | 1.44 | 1.39 | 1.39 | 1.27 | 1.57 |
| Feb 25, 2006 | 1.32 | 1.33 | 1.19 | 1.34 | 1.39 |
| Feb 26, 2005 | 1.39 | 1.52 | 1.35 | 1.22 | 1.32 |
Based on: 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03), 10-K (reporting date: 2017-01-28), 10-K (reporting date: 2016-01-30), 10-K (reporting date: 2015-01-31), 10-K (reporting date: 2014-02-01), 10-KT (reporting date: 2013-02-02), 10-K (reporting date: 2012-03-03), 10-K (reporting date: 2011-02-26), 10-K (reporting date: 2010-02-27), 10-K (reporting date: 2009-02-28), 10-K (reporting date: 2008-03-01), 10-K (reporting date: 2007-03-03), 10-K (reporting date: 2006-02-25), 10-K (reporting date: 2005-02-26).
Comparison to Sector (Consumer Discretionary Distribution & Retail)
Best Buy Co. Inc., current ratio, long-term trends, comparison to sector (consumer discretionary distribution & retail)
| Best Buy Co. Inc. | Consumer Discretionary Distribution & Retail | |
|---|---|---|
| Jan 29, 2022 | 0.99 | 0.98 |
| Jan 30, 2021 | 1.19 | 1.17 |
| Feb 1, 2020 | 1.10 | 1.06 |
| Feb 2, 2019 | 1.18 | 1.10 |
| Feb 3, 2018 | 1.26 | 1.13 |
| Jan 28, 2017 | 1.48 | 1.10 |
| Jan 30, 2016 | 1.43 | 1.12 |
| Jan 31, 2015 | 1.51 | 1.17 |
| Feb 1, 2014 | 1.41 | 1.23 |
| Feb 2, 2013 | 1.11 | 1.21 |
| Mar 3, 2012 | 1.16 | 1.30 |
| Feb 26, 2011 | 1.21 | 1.31 |
| Feb 27, 2010 | 1.18 | 1.36 |
| Feb 28, 2009 | 0.97 | 1.23 |
| Mar 1, 2008 | 1.08 | 1.20 |
| Mar 3, 2007 | 1.44 | 1.38 |
| Feb 25, 2006 | 1.32 | 1.26 |
| Feb 26, 2005 | 1.39 | 1.32 |
Based on: 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03), 10-K (reporting date: 2017-01-28), 10-K (reporting date: 2016-01-30), 10-K (reporting date: 2015-01-31), 10-K (reporting date: 2014-02-01), 10-KT (reporting date: 2013-02-02), 10-K (reporting date: 2012-03-03), 10-K (reporting date: 2011-02-26), 10-K (reporting date: 2010-02-27), 10-K (reporting date: 2009-02-28), 10-K (reporting date: 2008-03-01), 10-K (reporting date: 2007-03-03), 10-K (reporting date: 2006-02-25), 10-K (reporting date: 2005-02-26).
Comparison to Industry (Consumer Discretionary)
Best Buy Co. Inc., current ratio, long-term trends, comparison to industry (consumer discretionary)
| Best Buy Co. Inc. | Consumer Discretionary | |
|---|---|---|
| Jan 29, 2022 | 0.99 | 1.15 |
| Jan 30, 2021 | 1.19 | 1.25 |
| Feb 1, 2020 | 1.10 | 1.19 |
| Feb 2, 2019 | 1.18 | 1.10 |
| Feb 3, 2018 | 1.26 | 1.15 |
| Jan 28, 2017 | 1.48 | 1.15 |
| Jan 30, 2016 | 1.43 | 1.12 |
| Jan 31, 2015 | 1.51 | 1.25 |
| Feb 1, 2014 | 1.41 | 1.11 |
| Feb 2, 2013 | 1.11 | 1.15 |
| Mar 3, 2012 | 1.16 | 1.14 |
| Feb 26, 2011 | 1.21 | 1.31 |
| Feb 27, 2010 | 1.18 | 1.24 |
| Feb 28, 2009 | 0.97 | 1.25 |
| Mar 1, 2008 | 1.08 | 0.96 |
| Mar 3, 2007 | 1.44 | 1.21 |
| Feb 25, 2006 | 1.32 | 1.15 |
| Feb 26, 2005 | 1.39 | 1.10 |
Based on: 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03), 10-K (reporting date: 2017-01-28), 10-K (reporting date: 2016-01-30), 10-K (reporting date: 2015-01-31), 10-K (reporting date: 2014-02-01), 10-KT (reporting date: 2013-02-02), 10-K (reporting date: 2012-03-03), 10-K (reporting date: 2011-02-26), 10-K (reporting date: 2010-02-27), 10-K (reporting date: 2009-02-28), 10-K (reporting date: 2008-03-01), 10-K (reporting date: 2007-03-03), 10-K (reporting date: 2006-02-25), 10-K (reporting date: 2005-02-26).