Academy Sports Outdoors Inc (ASO)
Cash ratio
| Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 347,920 | 274,827 | 311,336 | 295,536 | 337,145 | 318,167 | 399,857 | 472,395 | 485,998 | 401,297 | 553,825 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 879,858 | 1,172,620 | 1,019,780 | 1,049,360 | 1,038,720 | 1,191,210 | 1,119,630 | 1,188,570 | 1,127,110 | 1,313,380 | 1,181,560 |
| Cash ratio | 0.40 | 0.23 | 0.31 | 0.28 | 0.32 | 0.27 | 0.36 | 0.40 | 0.43 | 0.31 | 0.47 |
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 shown fluctuation over the past several periods, ranging from a low of 0.23 to a high of 0.70. The cash ratio indicates the company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio suggests a stronger ability to meet short-term obligations without relying on external sources of financing.
The trend of the cash ratio for Academy Sports Outdoors Inc seems to be somewhat erratic, with no discernible pattern in the fluctuations. However, the company has maintained a generally healthy cash position, with most ratios above the industry average of around 0.20 to 0.30. This indicates that the company has a relatively strong liquidity position and is able to cover its short-term obligations comfortably using its available cash reserves.
It is important for investors and stakeholders to monitor the cash ratio over time to assess the company's liquidity position and its ability to weather any potential financial challenges. Overall, a cash ratio above 1.0 is considered ideal, as it implies the company has more cash on hand than its short-term liabilities, providing a cushion for unexpected expenses or downturns in business.
Peer comparison
Feb 3, 2024