Amazon.com Inc (AMZN)

Quick ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash	US$ in thousands	73,387,000	53,888,000	36,220,000	42,122,000	36,092,000
Short-term investments	US$ in thousands	13,393,000	16,138,000	59,829,000	42,274,000	18,929,000
Receivables	US$ in thousands	52,253,000	42,360,000	32,891,000	24,542,000	20,816,000
Total current liabilities	US$ in thousands	164,917,000	155,393,000	142,266,000	126,385,000	87,812,000
Quick ratio		0.84	0.72	0.91	0.86	0.86

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($73,387,000K + $13,393,000K + $52,253,000K) ÷ $164,917,000K
= 0.84

The quick ratio of Amazon.com Inc. has shown some fluctuations over the past five years based on the data provided. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets, excluding inventory.

In the most recent year, as of Dec 31, 2023, Amazon.com Inc.'s quick ratio stands at 0.84. This indicates that for every $1 of current liabilities, the company has $0.84 of highly liquid assets that can be quickly converted into cash to meet those obligations. While the quick ratio has decreased from the previous year, it still suggests that Amazon.com Inc. may have some difficulty in meeting its short-term liabilities solely with its liquid assets.

Looking back at the trend, the quick ratio was lowest in Dec 31, 2022, at 0.72, which may indicate a potential liquidity concern for the company during that period. However, in Dec 31, 2021, the quick ratio improved to 0.91, indicating better liquidity position compared to the prior year. The quick ratios for Dec 31, 2020 and 2019 were relatively stable at 0.86, showing a consistent ability to cover short-term obligations with liquid assets.

Overall, the trend in Amazon.com Inc.'s quick ratio suggests some variability in the company's liquidity position over the past five years. Investors and stakeholders may monitor this ratio closely to assess the company's ability to meet its short-term financial obligations.