Analysis of Long-term (Investment) Activity Ratios
Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.
Long-term Activity Ratios (Summary)
Lowe’s Cos. Inc., long-term (investment) activity ratios
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
| Long-term activity ratio | Description | The company |
|---|---|---|
| Net fixed asset turnover | An activity ratio calculated as total revenue divided by net fixed assets. | Lowe’s Cos. Inc. net fixed asset turnover ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |
| Net fixed asset turnover (including operating lease, right-of-use asset) | An activity ratio calculated as total revenue divided by net fixed assets (including operating lease, right-of-use asset). | Lowe’s Cos. Inc. net fixed asset turnover ratio (with operating lease, right-of-use asset) improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |
| Total asset turnover | An activity ratio calculated as total revenue divided by total assets. | Lowe’s Cos. Inc. total asset turnover ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |
Net Fixed Asset Turnover
Lowe’s Cos. Inc., net fixed asset turnover calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Net sales | 86,377) | 97,059) | 96,250) | 89,597) | 72,148) | 71,309) | |
| Property, less accumulated depreciation | 17,653) | 17,567) | 19,071) | 19,155) | 18,669) | 18,432) | |
| Long-term Activity Ratio | |||||||
| Net fixed asset turnover1 | 4.89 | 5.53 | 5.05 | 4.68 | 3.86 | 3.87 | |
| Benchmarks | |||||||
| Net Fixed Asset Turnover, Competitors2 | |||||||
| Amazon.com Inc. | — | 2.82 | 2.75 | 2.93 | 3.41 | 3.86 | |
| Home Depot Inc. | 5.84 | 6.14 | 6.00 | 5.35 | 4.84 | 4.84 | |
| TJX Cos. Inc. | 8.25 | 8.63 | 9.21 | 6.38 | 7.83 | 7.42 | |
| Net Fixed Asset Turnover, Sector | |||||||
| Consumer Discretionary Distribution & Retail | — | 3.47 | 3.43 | 3.46 | 3.82 | 4.20 | |
| Net Fixed Asset Turnover, Industry | |||||||
| Consumer Discretionary | — | 3.50 | 3.47 | 3.31 | 3.37 | 3.71 | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Net fixed asset turnover = Net sales ÷ Property, less accumulated depreciation
= 86,377 ÷ 17,653 = 4.89
2 Click competitor name to see calculations.
| Long-term activity ratio | Description | The company |
|---|---|---|
| Net fixed asset turnover | An activity ratio calculated as total revenue divided by net fixed assets. | Lowe’s Cos. Inc. net fixed asset turnover ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |
Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset)
Lowe’s Cos. Inc., net fixed asset turnover (including operating lease, right-of-use asset) calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Net sales | 86,377) | 97,059) | 96,250) | 89,597) | 72,148) | 71,309) | |
| Property, less accumulated depreciation | 17,653) | 17,567) | 19,071) | 19,155) | 18,669) | 18,432) | |
| Operating lease right-of-use assets | 3,733) | 3,518) | 4,108) | 3,832) | 3,891) | —) | |
| Property, less accumulated depreciation (including operating lease, right-of-use asset) | 21,386) | 21,085) | 23,179) | 22,987) | 22,560) | 18,432) | |
| Long-term Activity Ratio | |||||||
| Net fixed asset turnover (including operating lease, right-of-use asset)1 | 4.04 | 4.60 | 4.15 | 3.90 | 3.20 | 3.87 | |
| Benchmarks | |||||||
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Competitors2 | |||||||
| Amazon.com Inc. | — | 2.08 | 2.03 | 2.17 | 2.56 | 2.87 | |
| Home Depot Inc. | 4.49 | 4.83 | 4.85 | 4.31 | 3.89 | 4.84 | |
| TJX Cos. Inc. | 3.40 | 3.36 | 3.44 | 2.29 | 2.90 | 7.42 | |
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Sector | |||||||
| Consumer Discretionary Distribution & Retail | — | 2.55 | 2.52 | 2.55 | 2.83 | 3.47 | |
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Industry | |||||||
| Consumer Discretionary | — | 2.68 | 2.66 | 2.51 | 2.57 | 3.13 | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Net fixed asset turnover (including operating lease, right-of-use asset) = Net sales ÷ Property, less accumulated depreciation (including operating lease, right-of-use asset)
= 86,377 ÷ 21,386 = 4.04
2 Click competitor name to see calculations.
| Long-term activity ratio | Description | The company |
|---|---|---|
| Net fixed asset turnover (including operating lease, right-of-use asset) | An activity ratio calculated as total revenue divided by net fixed assets (including operating lease, right-of-use asset). | Lowe’s Cos. Inc. net fixed asset turnover ratio (with operating lease, right-of-use asset) improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |
Total Asset Turnover
Lowe’s Cos. Inc., total asset turnover calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Net sales | 86,377) | 97,059) | 96,250) | 89,597) | 72,148) | 71,309) | |
| Total assets | 41,795) | 43,708) | 44,640) | 46,735) | 39,471) | 34,508) | |
| Long-term Activity Ratio | |||||||
| Total asset turnover1 | 2.07 | 2.22 | 2.16 | 1.92 | 1.83 | 2.07 | |
| Benchmarks | |||||||
| Total Asset Turnover, Competitors2 | |||||||
| Amazon.com Inc. | — | 1.09 | 1.11 | 1.12 | 1.20 | 1.25 | |
| Home Depot Inc. | 1.99 | 2.06 | 2.10 | 1.87 | 2.15 | 2.46 | |
| TJX Cos. Inc. | 1.82 | 1.76 | 1.71 | 1.04 | 1.73 | 2.72 | |
| Total Asset Turnover, Sector | |||||||
| Consumer Discretionary Distribution & Retail | — | 1.30 | 1.33 | 1.27 | 1.40 | 1.57 | |
| Total Asset Turnover, Industry | |||||||
| Consumer Discretionary | — | 0.97 | 0.96 | 0.88 | 0.84 | 0.94 | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Total asset turnover = Net sales ÷ Total assets
= 86,377 ÷ 41,795 = 2.07
2 Click competitor name to see calculations.
| Long-term activity ratio | Description | The company |
|---|---|---|
| Total asset turnover | An activity ratio calculated as total revenue divided by total assets. | Lowe’s Cos. Inc. total asset turnover ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |
Equity Turnover
Lowe’s Cos. Inc., equity turnover calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Net sales | 86,377) | 97,059) | 96,250) | 89,597) | 72,148) | 71,309) | |
| Shareholders’ equity (deficit) | (15,050) | (14,254) | (4,816) | 1,437) | 1,972) | 3,644) | |
| Long-term Activity Ratio | |||||||
| Equity turnover1 | — | — | — | 62.35 | 36.59 | 19.57 | |
| Benchmarks | |||||||
| Equity Turnover, Competitors2 | |||||||
| Amazon.com Inc. | — | 2.85 | 3.52 | 3.40 | 4.13 | 4.52 | |
| Home Depot Inc. | 146.23 | 100.77 | — | 40.05 | — | — | |
| TJX Cos. Inc. | 7.42 | 7.85 | 8.09 | 5.51 | 7.01 | 7.72 | |
| Equity Turnover, Sector | |||||||
| Consumer Discretionary Distribution & Retail | — | 4.50 | 5.57 | 4.86 | 6.21 | 7.25 | |
| Equity Turnover, Industry | |||||||
| Consumer Discretionary | — | 3.86 | 4.21 | 3.74 | 4.82 | 5.84 | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Equity turnover = Net sales ÷ Shareholders’ equity (deficit)
= 86,377 ÷ -15,050 = —
2 Click competitor name to see calculations.