Below are the ratios for Walmart Inc.s direct competitor Target Corp. as well as the industry
Question:
Below are the ratios for Walmart Inc.’s direct competitor – Target Corp. as well as the industry averages for this market sector. Use these data when competing your written report as appropriate.
Vertical Analysis | ||
Target Corp. (Current Year) | ||
Income Statement Items | ||
Net Income | 4.67% | |
Cost of goods sold | 70.73% | |
Balance Sheet Items | ||
Current Assets | 40.50% | |
Property, Plant, and Equipment (net) | 52.45% | |
Current Liabilities | 39.27% | |
Long-term Liabilities | 32.55% | |
Stockholders' Equity | 28.18% |
Ratio Analysis | |||
Target Corp. and Industry Average (Current Year) | |||
Target Corp. | Industry Average | ||
Liquidity Ratios | |||
Current Ratio | 1.03 | 1.24 | |
Inventory Turnover | 6.74 | 5.92 | |
Days in Inventory | 54.18 | 62.87 | |
Solvency Ratios | |||
Debt to Asset Ratio | 0.72 | 0.15 | |
Times Interest Earned | 6.68 | 14.38 | |
Profitability Ratios | |||
Price-Earnings Ratio | 20.63 | 20.96 | |
Gross Profit Rate | 0.29 | 0.29 | |
Profit Margin | 0.05 | .047 | |
Return on Assets | 0.09 | 0.08 | |
Asset Turnover | 1.99 | 1.85 | |
Payout Ratio | 0.31 | 0.40 | |
Return on Common Stockholders' Equity | 0.33 | 0.20 |