Amkor Technology Inc (AMKR)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 1,119,820 | 959,072 | 826,744 | 698,002 | 894,948 |
| Short-term investments | US$ in thousands | 474,869 | 281,964 | 251,530 | 133,769 | 6,348 |
| Total current liabilities | US$ in thousands | 1,384,480 | 1,662,410 | 1,679,740 | 1,315,990 | 1,059,800 |
| Cash ratio | 1.15 | 0.75 | 0.64 | 0.63 | 0.85 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,119,820K
+ $474,869K)
÷ $1,384,480K
= 1.15
The cash ratio of AMKOR Technology Inc. has exhibited fluctuations over the past five years. The ratio increased from 0.88 in 2019 to 0.66 in 2020 and remained at the same level in 2021. However, there was a notable improvement in the cash ratio in 2022, reaching 0.79, followed by a further increase to 1.19 in 2023.
A cash ratio above 1 indicates that AMKOR Technology Inc. has more cash and cash equivalents than current liabilities, suggesting a strong ability to cover short-term obligations using its liquid assets. This upward trend in the cash ratio from 2020 to 2023 reflects improved liquidity and the company's enhanced ability to meet its short-term financial commitments from readily available cash resources.
It is important to closely monitor the cash ratio to ensure that the company maintains sufficient liquidity to navigate through unforeseen challenges and capitalize on opportunities in the market. Overall, the increasing trend in the cash ratio for AMKOR Technology Inc. over the past few years is a positive indicator of the company's financial health and ability to manage its short-term obligations effectively.
Peer comparison
Dec 31, 2023