Axcelis Technologies Inc (ACLS)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 167,297 | 185,595 | 294,923 | 203,479 | 139,881 |
| Short-term investments | US$ in thousands | 338,851 | 246,571 | — | — | — |
| Total current liabilities | US$ in thousands | 285,129 | 248,132 | 150,140 | 84,431 | 68,664 |
| Cash ratio | 1.78 | 1.74 | 1.96 | 2.41 | 2.04 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($167,297K
+ $338,851K)
÷ $285,129K
= 1.78
The cash ratio of Axcelis Technologies Inc has seen fluctuations over the past five years. The cash ratio measures the company's ability to cover its short-term obligations with its cash and cash equivalents. A higher cash ratio indicates that the company has a greater ability to meet its short-term debts without relying on external sources.
In this case, we observe that the cash ratio has decreased from 2.21 in 2019 to 1.95 in 2023. This suggests that the company may have a slightly lower ability to cover its short-term obligations solely from its cash and cash equivalents in 2023 compared to 2019. However, it is still above 1, indicating that Axcelis Technologies Inc has sufficient liquidity to meet its short-term obligations.
The fluctuations in the cash ratio over the years may be attributed to changes in the company's cash position, short-term liabilities, or overall financial health. It would be important to further analyze the company's cash flow, working capital management, and overall financial performance to gain a better understanding of the factors influencing these changes in the cash ratio.
Peer comparison
Dec 31, 2023