Academy Sports Outdoors Inc (ASO)
Cash ratio
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | ||
|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 347,920 | 337,145 | 485,998 | 377,604 |
| Short-term investments | US$ in thousands | — | — | — | — |
| Total current liabilities | US$ in thousands | 879,858 | 1,038,720 | 1,127,110 | 1,167,090 |
| Cash ratio | 0.40 | 0.32 | 0.43 | 0.32 |
February 3, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($347,920K
+ $—K)
÷ $879,858K
= 0.40
The cash ratio of Academy Sports Outdoors Inc has fluctuated over the past four years. As of February 3, 2024, the company's cash ratio stood at 0.40, indicating an improvement from the previous year's ratio of 0.32. This suggests that the company had a higher proportion of cash and cash equivalents relative to its current liabilities in 2024 compared to 2023.
Looking back at historical trends, the cash ratio was also relatively strong in January 2022 at 0.43, but then decreased to 0.32 in January 2021. The upward trend in the cash ratio over the past two years (2021 to 2024) may indicate a more conservative approach to liquidity management by the company.
Overall, the increasing cash ratio from 2021 to 2024 suggests that Academy Sports Outdoors Inc has been maintaining a healthier level of liquidity to meet its short-term obligations. This could be a positive sign for investors and creditors, as a higher cash ratio typically indicates a company's ability to cover its current liabilities with its available cash and cash equivalents.
Peer comparison
Feb 3, 2024