American Axle & Manufacturing (AXL)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 552,900 | 519,900 | 511,500 | 530,200 | 557,000 |
| Short-term investments | US$ in thousands | — | — | 2,400 | 1,900 | 4,900 |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 1,175,200 | 1,201,600 | 1,199,300 | 1,039,900 | 979,300 |
| Quick ratio | 0.47 | 0.43 | 0.43 | 0.51 | 0.57 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($552,900K
+ $—K
+ $—K)
÷ $1,175,200K
= 0.47
The quick ratio of American Axle & Manufacturing has shown a declining trend over the years from 0.57 as of December 31, 2020, to 0.47 as of December 31, 2024. This indicates a decrease in the company's ability to meet its short-term obligations with its most liquid assets. However, it's important to note that the quick ratio still remains above 1, suggesting that the company has sufficient liquid assets to cover its current liabilities. Further monitoring of liquidity and efficiency in managing short-term obligations may be warranted to ensure financial health and stability.
Peer comparison
Dec 31, 2024