Amazon.com Inc (AMZN)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 78,779,000 | 73,387,000 | 53,888,000 | 36,220,000 | 42,122,000 |
| Short-term investments | US$ in thousands | 22,423,000 | 13,393,000 | 16,138,000 | 59,829,000 | 42,274,000 |
| Receivables | US$ in thousands | 55,451,000 | 52,253,000 | 42,360,000 | 32,891,000 | 24,542,000 |
| Total current liabilities | US$ in thousands | 179,431,000 | 164,917,000 | 155,393,000 | 142,266,000 | 126,385,000 |
| Quick ratio | 0.87 | 0.84 | 0.72 | 0.91 | 0.86 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($78,779,000K
+ $22,423,000K
+ $55,451,000K)
÷ $179,431,000K
= 0.87
The quick ratio of Amazon.com Inc has shown some variability over the past five years. Starting at 0.86 on December 31, 2020, the ratio increased slightly to 0.91 by December 31, 2021. However, there was a notable decrease to 0.72 by December 31, 2022, indicating a potential liquidity concern. The ratio then rebounded to 0.84 by December 31, 2023, and further improved to 0.87 by December 31, 2024.
Overall, Amazon.com Inc's quick ratio demonstrates the company's ability to meet its short-term obligations with its most liquid assets. However, the fluctuation in the ratio over the years suggests the need for continuous monitoring of the company's liquidity position to ensure its ability to cover immediate liabilities.
Peer comparison
Dec 31, 2024