ASGN Inc (ASGN)

Cash ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Cash and cash equivalents US$ in thousands 205,200 175,900 70,300 529,600 274,400
Short-term investments US$ in thousands — — — — —
Total current liabilities US$ in thousands 367,100 394,100 441,900 450,900 416,200
Cash ratio 0.56 0.45 0.16 1.17 0.66

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($205,200K + $—K) ÷ $367,100K
= 0.56

The cash ratio of ASGN Inc has shown fluctuations over the past five years. It stood at 0.66 as of December 31, 2020, indicating that the company had $0.66 in cash and cash equivalents for every $1 of current liabilities. This ratio improved to 1.17 by December 31, 2021, suggesting a stronger ability to cover short-term obligations with cash on hand.

However, there was a significant decline in the cash ratio to 0.16 by December 31, 2022, which may raise concerns about the company's liquidity position. The ratio slightly recovered to 0.45 by December 31, 2023, but it remained below the levels seen in the previous years.

By the end of December 31, 2024, the cash ratio increased to 0.56, indicating a slight improvement in the company's liquidity position compared to the previous year. Overall, there have been fluctuations in ASGN Inc's cash ratio over the years, highlighting the importance of closely monitoring the company's ability to meet short-term obligations with its available cash reserves.