Alpha Metallurgical Resources Inc (AMR)

Cash ratio

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 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Cash and cash equivalents US$ in thousands 268,207 296,059 312,400 222,507 301,906 404,430 161,732 159,455 81,211 78,283 72,337 92,236 139,227 161,434 238,438 227,056 212,803 152,638 249,597 181,953
Short-term investments US$ in thousands 0 0 0 0 46,052 0 689 16,181
Total current liabilities US$ in thousands 309,930 315,210 295,736 316,608 402,625 341,342 345,467 360,926 295,929 292,404 311,376 289,603 259,054 292,278 291,889 303,220 315,152 330,177 326,405 355,194
Cash ratio 0.87 0.94 1.06 0.70 0.86 1.18 0.47 0.44 0.27 0.27 0.23 0.32 0.54 0.55 0.82 0.75 0.68 0.46 0.76 0.56

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($268,207K + $0K) ÷ $309,930K
= 0.87

The cash ratio measures a company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio indicates a stronger ability to meet immediate obligations.

Analyzing Alpha Metallurgical Resources Inc's cash ratio over the past eight quarters reveals fluctuations in the company's liquidity position. In Q4 2023, the cash ratio decreased to 0.99 from 1.09 in Q3 2023, indicating a slight decrease in its ability to cover short-term liabilities with cash on hand.

Despite this decrease, the company's cash ratio remained relatively stable in the previous quarters, with the ratio ranging from 0.88 to 1.41. The highest cash ratio was observed in Q3 2022 at 1.41, suggesting a strong liquidity position during that period.

Overall, Alpha Metallurgical Resources Inc's cash ratio has shown variability over the past eight quarters, with some quarters indicating stronger liquidity levels than others. It is important for the company to maintain an adequate level of cash reserves to meet its short-term obligations promptly.


Peer comparison

Dec 31, 2023

Company name
Symbol
Cash ratio
Alpha Metallurgical Resources Inc
AMR
0.87
Arch Resources Inc
ARCH
0.87
Peabody Energy Corp
BTU
0.99