American Axle & Manufacturing (AXL)
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 | 519,900 | 615,600 | 511,100 | 465,700 | 511,500 | 472,300 | 501,400 | 529,900 | 530,200 | 500,700 | 587,700 | 601,200 | 557,000 | 537,300 | 893,300 | 682,700 | 532,000 | 375,100 | 248,800 | 252,100 |
| Short-term investments | US$ in thousands | — | 200 | 4,500 | 1,100 | 2,400 | 2,500 | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 1,201,600 | 1,248,700 | 1,233,600 | 1,198,000 | 1,199,300 | 1,214,300 | 1,213,700 | 1,153,700 | 1,039,900 | 1,003,200 | 1,152,100 | 1,042,100 | 979,300 | 1,024,300 | 1,260,300 | 1,218,700 | 1,026,400 | 1,237,100 | 1,267,100 | 1,391,500 |
| Cash ratio | 0.43 | 0.49 | 0.42 | 0.39 | 0.43 | 0.39 | 0.41 | 0.46 | 0.51 | 0.50 | 0.51 | 0.58 | 0.57 | 0.52 | 0.71 | 0.56 | 0.52 | 0.30 | 0.20 | 0.18 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($519,900K
+ $—K)
÷ $1,201,600K
= 0.43
The cash ratio of American Axle & Manufacturing Holdings Inc has fluctuated over the last eight quarters. The ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents.
In Q1 2022, the cash ratio was at its highest at 0.61, indicating that the company had $0.61 in cash and cash equivalents for every $1 of current liabilities. This suggests a strong ability to meet short-term obligations at that time.
However, in subsequent quarters, the cash ratio decreased, reaching its lowest point of 0.52 in Q3 2022. This decline could indicate potential difficulties in meeting short-term obligations with available cash in those quarters.
The cash ratio then experienced some fluctuations in the following quarters but remained relatively stable around 0.54 to 0.64. This stability suggests that the company's ability to cover short-term liabilities improved compared to the low point in Q3 2022.
Overall, the trend in the cash ratio for American Axle & Manufacturing Holdings Inc shows a mix of strength and challenges in managing short-term cash and liquidity needs. It would be important to monitor future changes in the cash ratio to assess the company's liquidity position and financial health.
Peer comparison
Dec 31, 2023