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)
Target Corp., long-term (investment) activity ratios
Based on: 10-K (reporting date: 2024-02-03), 10-K (reporting date: 2023-01-28), 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).
| Long-term activity ratio | Description | The company |
|---|---|---|
| Net fixed asset turnover | An activity ratio calculated as total revenue divided by net fixed assets. | Target Corp. net fixed asset turnover ratio deteriorated from 2022 to 2023 and 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). | Target Corp. net fixed asset turnover ratio (with operating lease, right-of-use asset) deteriorated from 2022 to 2023 and from 2023 to 2024. |
| Total asset turnover | An activity ratio calculated as total revenue divided by total assets. | Target Corp. total asset turnover ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |
| Equity turnover | An activity ratio calculated as total revenue divided by shareholders’ equity. | Target Corp. equity turnover ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |
Net Fixed Asset Turnover
Target Corp., net fixed asset turnover calculation, comparison to benchmarks
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | Feb 2, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Sales | 105,803) | 107,588) | 104,611) | 92,400) | 77,130) | 74,433) | |
| Property and equipment, net | 33,096) | 31,512) | 28,181) | 26,879) | 26,283) | 25,533) | |
| Long-term Activity Ratio | |||||||
| Net fixed asset turnover1 | 3.20 | 3.41 | 3.71 | 3.44 | 2.93 | 2.92 | |
| Benchmarks | |||||||
| Net Fixed Asset Turnover, Competitors2 | |||||||
| Costco Wholesale Corp. | 8.19 | 8.49 | 8.48 | 7.84 | 7.29 | 7.03 | |
| Walmart Inc. | 5.51 | 5.73 | 5.74 | 5.77 | 4.74 | 4.58 | |
| Net Fixed Asset Turnover, Sector | |||||||
| Consumer Staples Distribution & Retail | — | 5.76 | 5.84 | 5.69 | 4.80 | 4.64 | |
| Net Fixed Asset Turnover, Industry | |||||||
| Consumer Staples | — | 5.29 | 5.35 | 5.21 | 4.51 | 4.40 | |
Based on: 10-K (reporting date: 2024-02-03), 10-K (reporting date: 2023-01-28), 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).
1 2024 Calculation
Net fixed asset turnover = Sales ÷ Property and equipment, net
= 105,803 ÷ 33,096 = 3.20
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. | Target Corp. net fixed asset turnover ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset)
Target Corp., net fixed asset turnover (including operating lease, right-of-use asset) calculation, comparison to benchmarks
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | Feb 2, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Sales | 105,803) | 107,588) | 104,611) | 92,400) | 77,130) | 74,433) | |
| Property and equipment, net | 33,096) | 31,512) | 28,181) | 26,879) | 26,283) | 25,533) | |
| Operating lease assets | 3,362) | 2,657) | 2,556) | 2,227) | 2,236) | 1,965) | |
| Property and equipment, net (including operating lease, right-of-use asset) | 36,458) | 34,169) | 30,737) | 29,106) | 28,519) | 27,498) | |
| Long-term Activity Ratio | |||||||
| Net fixed asset turnover (including operating lease, right-of-use asset)1 | 2.90 | 3.15 | 3.40 | 3.17 | 2.70 | 2.71 | |
| Benchmarks | |||||||
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Competitors2 | |||||||
| Costco Wholesale Corp. | 7.55 | 7.74 | 7.67 | 7.01 | 6.48 | 7.03 | |
| Walmart Inc. | 4.93 | 5.08 | 5.04 | 5.05 | 4.09 | 4.58 | |
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Sector | |||||||
| Consumer Staples Distribution & Retail | — | 5.17 | 5.19 | 5.05 | 4.21 | 4.58 | |
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Industry | |||||||
| Consumer Staples | — | 4.78 | 4.82 | 4.69 | 4.01 | 4.29 | |
Based on: 10-K (reporting date: 2024-02-03), 10-K (reporting date: 2023-01-28), 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).
1 2024 Calculation
Net fixed asset turnover (including operating lease, right-of-use asset) = Sales ÷ Property and equipment, net (including operating lease, right-of-use asset)
= 105,803 ÷ 36,458 = 2.90
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). | Target Corp. net fixed asset turnover ratio (with operating lease, right-of-use asset) deteriorated from 2022 to 2023 and from 2023 to 2024. |
Total Asset Turnover
Target Corp., total asset turnover calculation, comparison to benchmarks
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | Feb 2, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Sales | 105,803) | 107,588) | 104,611) | 92,400) | 77,130) | 74,433) | |
| Total assets | 55,356) | 53,335) | 53,811) | 51,248) | 42,779) | 41,290) | |
| Long-term Activity Ratio | |||||||
| Total asset turnover1 | 1.91 | 2.02 | 1.94 | 1.80 | 1.80 | 1.80 | |
| Benchmarks | |||||||
| Total Asset Turnover, Competitors2 | |||||||
| Costco Wholesale Corp. | 3.57 | 3.45 | 3.47 | 3.24 | 2.94 | 3.29 | |
| Walmart Inc. | 2.55 | 2.49 | 2.32 | 2.20 | 2.20 | 2.33 | |
| Total Asset Turnover, Sector | |||||||
| Consumer Staples Distribution & Retail | — | 2.60 | 2.47 | 2.31 | 2.27 | 2.40 | |
| Total Asset Turnover, Industry | |||||||
| Consumer Staples | — | 1.56 | 1.52 | 1.46 | 1.36 | 1.42 | |
Based on: 10-K (reporting date: 2024-02-03), 10-K (reporting date: 2023-01-28), 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).
1 2024 Calculation
Total asset turnover = Sales ÷ Total assets
= 105,803 ÷ 55,356 = 1.91
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. | Target Corp. total asset turnover ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |
Equity Turnover
Target Corp., equity turnover calculation, comparison to benchmarks
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | Feb 2, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Sales | 105,803) | 107,588) | 104,611) | 92,400) | 77,130) | 74,433) | |
| Shareholders’ investment | 13,432) | 11,232) | 12,827) | 14,440) | 11,833) | 11,297) | |
| Long-term Activity Ratio | |||||||
| Equity turnover1 | 7.88 | 9.58 | 8.16 | 6.40 | 6.52 | 6.59 | |
| Benchmarks | |||||||
| Equity Turnover, Competitors2 | |||||||
| Costco Wholesale Corp. | 10.57 | 9.49 | 10.79 | 10.93 | 8.93 | 9.80 | |
| Walmart Inc. | 7.66 | 7.90 | 6.82 | 6.86 | 6.96 | 7.04 | |
| Equity Turnover, Sector | |||||||
| Consumer Staples Distribution & Retail | — | 8.42 | 7.67 | 7.44 | 7.26 | 7.41 | |
| Equity Turnover, Industry | |||||||
| Consumer Staples | — | 6.49 | 6.06 | 5.85 | 5.68 | 5.50 | |
Based on: 10-K (reporting date: 2024-02-03), 10-K (reporting date: 2023-01-28), 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).
1 2024 Calculation
Equity turnover = Sales ÷ Shareholders’ investment
= 105,803 ÷ 13,432 = 7.88
2 Click competitor name to see calculations.
| Long-term activity ratio | Description | The company |
|---|---|---|
| Equity turnover | An activity ratio calculated as total revenue divided by shareholders’ equity. | Target Corp. equity turnover ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |