Advanced Micro Devices Inc (AMD)
Cash ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 3,787,000 | 3,897,000 | 4,113,000 | 4,190,000 | 3,933,000 | 3,561,000 | 3,841,000 | 3,825,000 | 4,835,000 | 3,398,000 | 4,964,000 | 4,740,000 | 2,535,000 | 2,440,000 | 2,623,000 | 1,763,000 | 1,595,000 | 1,296,000 | 1,775,000 | 1,330,000 |
| Short-term investments | US$ in thousands | 1,345,000 | 647,000 | 1,227,000 | 1,845,000 | 1,840,000 | 2,224,000 | 2,444,000 | 2,114,000 | 1,020,000 | 2,193,000 | 1,028,000 | 1,792,000 | 1,073,000 | 1,168,000 | 1,170,000 | 1,353,000 | 695,000 | 475,000 | 0 | 55,000 |
| Total current liabilities | US$ in thousands | 7,281,000 | 7,500,000 | 6,195,000 | 6,474,000 | 6,689,000 | 7,627,000 | 7,572,000 | 6,577,000 | 6,369,000 | 6,691,000 | 5,523,000 | 5,581,000 | 4,240,000 | 3,564,000 | 2,892,000 | 2,864,000 | 2,417,000 | 2,417,000 | 2,434,000 | 1,985,000 |
| Cash ratio | 0.70 | 0.61 | 0.86 | 0.93 | 0.86 | 0.76 | 0.83 | 0.90 | 0.92 | 0.84 | 1.08 | 1.17 | 0.85 | 1.01 | 1.31 | 1.09 | 0.95 | 0.73 | 0.73 | 0.70 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($3,787,000K
+ $1,345,000K)
÷ $7,281,000K
= 0.70
The cash ratio of Advanced Micro Devices Inc has demonstrated fluctuations over the period under review, ranging from a low of 0.61 on September 30, 2024, to a high of 1.31 on June 30, 2021. The cash ratio measures the company's ability to cover its short-term liabilities using its readily available cash and cash equivalents.
During the analyzed period, the cash ratio generally remained above 1, indicating that the company had sufficient liquid assets to cover its current liabilities without relying on external sources. However, there were instances where the cash ratio dipped below 1, such as on September 30, 2021, and September 30, 2024, which could potentially signal a liquidity risk as the company may have had challenges meeting its short-term obligations solely from cash on hand.
Overall, the trend in the cash ratio suggests that Advanced Micro Devices Inc has managed its liquidity effectively, although there were periods of relative weakness. It is important for investors and stakeholders to closely monitor the cash ratio to ensure the company's ability to meet its short-term financial commitments.
Peer comparison
Dec 31, 2024