Axon Enterprise Inc. (AXON)
Quick ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 454,844 | 695,144 | 568,652 | 403,870 | 600,545 | 406,042 | 474,203 | 263,414 | 353,684 | 147,711 | 212,815 | 386,367 | 356,332 | 281,691 | 266,372 | 154,822 | 155,440 | 176,000 | 319,253 | 156,540 |
| Short-term investments | US$ in thousands | 198,270 | 151,560 | 510,020 | 659,906 | 721,994 | 784,538 | 659,742 | 829,939 | 621,009 | 229,907 | 164,414 | 77,624 | 86,690 | 299,897 | 388,895 | 440,842 | 406,525 | 330,914 | 237,980 | 188,673 |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 997,586 | 823,227 | 766,113 | 757,474 | 799,969 | 717,827 | 625,239 | 616,127 | 602,646 | 431,523 | 432,971 | 470,679 | 418,521 | 379,890 | 272,871 | 239,775 | 256,331 | 258,555 | 242,830 | 195,015 |
| Quick ratio | 0.65 | 1.03 | 1.41 | 1.40 | 1.65 | 1.66 | 1.81 | 1.77 | 1.62 | 0.88 | 0.87 | 0.99 | 1.06 | 1.53 | 2.40 | 2.48 | 2.19 | 1.96 | 2.29 | 1.77 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($454,844K
+ $198,270K
+ $—K)
÷ $997,586K
= 0.65
The quick ratio of Axon Enterprise Inc. provides insight into the company's ability to cover its short-term obligations using its most liquid assets. The trend in the quick ratio from March 31, 2020, through December 31, 2024, shows some fluctuations.
The quick ratio started at a healthy level of 1.77 on March 31, 2020, indicating the company had $1.77 in liquid assets to cover each $1 of its current liabilities. It steadily increased to 2.48 on March 31, 2021, suggesting a strengthening liquidity position. However, from September 30, 2021, to December 31, 2022, the quick ratio decreased significantly to 0.88, indicating a potential liquidity concern in these periods.
The quick ratio improved slightly by March 31, 2023, at 1.77 and remained relatively stable around this level until December 31, 2024, ranging from 1.03 to 1.65. The ratio dropping to 0.65 on December 31, 2024, could be a cause for monitoring as it indicates a lower ability to cover immediate obligations with liquid assets.
Overall, the fluctuation in Axon Enterprise Inc.'s quick ratio over the reviewed period suggests variations in the company's liquidity position, highlighting the importance of consistent monitoring and management of its liquidity risk.
Peer comparison
Dec 31, 2024