Arrow Electronics Inc (ARW)
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 | 188,807 | 248,000 | 213,009 | 242,810 | 218,053 | 333,294 | 240,382 | 205,554 | 176,915 | 333,985 | 225,596 | 242,791 | 222,194 | 215,932 | 244,070 | 227,701 | 373,615 | 227,019 | 205,828 | 200,998 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | 69,022 | 68,937 | 77,330 | 76,358 | 76,355 | 80,756 | — |
| Total current liabilities | US$ in thousands | 12,636,200 | 11,970,800 | 11,318,700 | 11,360,600 | 13,187,900 | 11,936,000 | 10,669,300 | 10,390,100 | 12,389,600 | 11,418,100 | 11,033,100 | 10,671,600 | 11,326,100 | 9,501,880 | 9,072,700 | 8,393,010 | 9,130,880 | 7,914,710 | 8,132,430 | 7,913,180 |
| Cash ratio | 0.01 | 0.02 | 0.02 | 0.02 | 0.02 | 0.03 | 0.02 | 0.02 | 0.01 | 0.03 | 0.02 | 0.02 | 0.02 | 0.03 | 0.03 | 0.04 | 0.05 | 0.04 | 0.04 | 0.03 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($188,807K
+ $—K)
÷ $12,636,200K
= 0.01
The cash ratio of Arrow Electronics Inc has ranged between 0.01 to 0.05 over the past few years based on the provided data. The cash ratio measures a company's ability to cover its short-term liabilities with its available cash and cash equivalents. A higher cash ratio indicates a stronger ability to meet short-term obligations.
Arrow Electronics Inc's cash ratio fluctuated within a relatively narrow range, with the highest ratio of 0.05 being reported on December 31, 2020. From 2021 onwards, the cash ratio generally declined, reaching a low of 0.01 on December 31, 2024. This downward trend in the cash ratio could suggest a decrease in the company's ability to cover its short-term liabilities solely with its available cash.
It is important for investors and analysts to closely monitor the cash ratio of a company as it reflects its liquidity position and ability to weather potential financial challenges. A declining cash ratio may indicate a need for Arrow Electronics Inc to improve its cash management practices or explore options to increase its cash reserves.
Peer comparison
Dec 31, 2024