American Water Works (AWK)
Cash ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 330,000 | 628,000 | 794,000 | 213,000 | 85,000 | 77,000 | 71,000 | 75,000 | 116,000 | 70,000 | 70,000 | 69,000 | 547,000 | 560,000 | 569,000 | 556,000 | 60,000 | 94,000 | 64,000 | 63,000 |
| Short-term investments | US$ in thousands | 62,000 | 72,000 | 69,000 | 64,000 | 67,000 | 23,000 | 25,000 | — | — | — | — | 2,223,000 | 2,113,000 | 2,060,000 | — | — | 8,000 | 13,000 | 4,000 | 5,000 |
| Total current liabilities | US$ in thousands | 2,151,000 | 1,743,000 | 1,764,000 | 1,892,000 | 2,811,000 | 2,130,000 | 1,728,000 | 1,648,000 | 2,141,000 | 1,844,000 | 1,710,000 | 2,451,000 | 2,881,000 | 2,260,000 | 2,113,000 | 2,767,000 | 2,045,000 | 1,488,000 | 1,317,000 | 2,156,000 |
| Cash ratio | 0.18 | 0.40 | 0.49 | 0.15 | 0.05 | 0.05 | 0.06 | 0.05 | 0.05 | 0.04 | 0.04 | 0.94 | 0.92 | 1.16 | 0.27 | 0.20 | 0.03 | 0.07 | 0.05 | 0.03 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($330,000K
+ $62,000K)
÷ $2,151,000K
= 0.18
The cash ratio of American Water Works Co. Inc. has shown fluctuations over the past eight quarters. The ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents.
In Q2 2023, the company's cash ratio was the highest at 0.66, indicating that it had $0.66 in cash and cash equivalents for every dollar of current liabilities. This suggests a strong liquidity position during that period.
On the other hand, the lowest cash ratio was observed in Q1 2022 at 0.12, which indicates a weaker ability to cover short-term obligations with cash on hand during that quarter.
Overall, the trend in American Water Works Co. Inc.'s cash ratio suggests some variability in its liquidity position over the quarters analyzed, with the company experiencing both stronger and weaker cash positions at different points in time. It is important for investors and analysts to monitor the company's liquidity closely, as it can indicate its ability to meet its short-term financial obligations.
Peer comparison
Dec 31, 2023