ConAgra Foods Inc (CAG)
Quick ratio
| May 31, 2025 | May 31, 2024 | May 26, 2024 | May 31, 2023 | May 28, 2023 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 68,000 | 77,700 | 77,700 | 93,300 | 93,300 |
| Short-term investments | US$ in thousands | — | — | — | — | 600 |
| Receivables | US$ in thousands | 770,000 | 871,800 | 871,800 | 952,800 | 952,800 |
| Total current liabilities | US$ in thousands | 4,317,000 | 3,241,800 | 3,241,800 | 4,440,700 | 4,440,700 |
| Quick ratio | 0.19 | 0.29 | 0.29 | 0.24 | 0.24 |
May 31, 2025 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($68,000K
+ $—K
+ $770,000K)
÷ $4,317,000K
= 0.19
The analyzed data indicates that ConAgra Foods Inc's quick ratio has experienced some fluctuations over the specified periods. As of the most recent dates, the quick ratio stood at 0.24 on May 28, 2023, and remained stable at 0.24 on May 31, 2023. Moving into the subsequent year, the quick ratio exhibited a slight increase to 0.29 on May 26, 2024, and maintained this level through May 31, 2024. However, by May 31, 2025, the quick ratio declined to 0.19.
This trend reflects a generally conservative liquidity position, with quick ratios remaining below 0.3 across all dates. The rise from 0.24 to 0.29 suggests an improvement in liquidity during the period from 2023 to 2024, potentially indicating a short-term increase in liquid assets relative to current liabilities. Nevertheless, the subsequent decrease to 0.19 in 2025 signifies a reduction in liquidity, which could imply a deterioration in the company's ability to meet immediate obligations without relying on inventory sales.
Overall, the company's quick ratio demonstrates a relatively low liquidity buffer. The ratios consistently below 0.3 suggest that a significant portion of current assets are tied up in inventory or other less liquid assets, and there may be limited cushion for abrupt financial challenges. The downward trend observed in the latest period underlines the importance of monitoring the company's liquidity management strategies to ensure sufficient short-term financial flexibility.
Peer comparison
May 31, 2025