CDW Corp (CDW)
Cash 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 and cash equivalents | US$ in thousands | 503,500 | 946,700 | 665,300 | 803,800 | 588,700 | 440,700 | 203,900 | 279,400 | 315,200 | 384,600 | 541,600 | 386,900 | 258,100 | 245,100 | 501,200 | 878,600 | 1,410,200 | 1,249,500 | 958,400 | 214,400 |
| Short-term investments | US$ in thousands | 214,200 | 211,700 | — | — | 0 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 5,474,400 | 5,458,600 | 6,208,100 | 5,261,000 | 5,442,000 | 4,782,100 | 4,997,300 | 4,777,900 | 4,947,100 | 5,358,800 | 5,415,600 | 5,464,600 | 5,096,000 | 3,833,200 | 3,770,100 | 3,709,300 | 3,898,300 | 3,836,600 | 3,561,500 | 3,647,200 |
| Cash ratio | 0.13 | 0.21 | 0.11 | 0.15 | 0.11 | 0.09 | 0.04 | 0.06 | 0.06 | 0.07 | 0.10 | 0.07 | 0.05 | 0.06 | 0.13 | 0.24 | 0.36 | 0.33 | 0.27 | 0.06 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($503,500K
+ $214,200K)
÷ $5,474,400K
= 0.13
The cash ratio of CDW Corp measures its ability to cover its short-term liabilities with cash and cash equivalents. Over the period from March 31, 2020, to December 31, 2024, the cash ratio fluctuated between a low of 0.04 on June 30, 2023, and a high of 0.36 on December 31, 2020.
The ratio significantly improved from the first quarter of 2020 to the third quarter of 2020, indicating a strengthened ability to cover short-term obligations with cash. However, from March 31, 2021, to June 30, 2024, the cash ratio exhibited volatility, suggesting potential fluctuations in the company's cash position relative to its short-term liabilities.
The cash ratio was generally below 1, indicating that CDW Corp may not hold sufficient cash to cover all of its short-term obligations. A fluctuating cash ratio can signal variations in liquidity and financial health. The company may need to manage its cash flow effectively to ensure it can meet its short-term obligations in a sustainable manner.
Peer comparison
Dec 31, 2024