Chewy Inc (CHWY)
Quick ratio
| Jan 31, 2025 | Oct 31, 2024 | Oct 27, 2024 | Jul 31, 2024 | Jul 28, 2024 | Apr 30, 2024 | Apr 28, 2024 | Jan 31, 2024 | Jan 28, 2024 | Oct 31, 2023 | Oct 29, 2023 | Jul 31, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 31, 2023 | Jan 29, 2023 | Oct 31, 2022 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 595,765 | 506,634 | 506,634 | 694,460 | 694,460 | 1,134,630 | 1,134,630 | 602,232 | 602,232 | 469,409 | 469,409 | 457,103 | 457,103 | 408,685 | 330,441 | 331,641 | 378,227 | 378,227 | 606,800 | 604,761 |
| Short-term investments | US$ in thousands | 899 | 885 | 885 | 490 | 490 | 3,490 | 3,490 | 531,785 | 531,785 | 487,772 | 487,772 | 448,323 | 448,323 | 394,487 | 346,944 | 346,944 | 296,784 | 296,784 | — | — |
| Receivables | US$ in thousands | — | — | 193,210 | — | 200,983 | — | 172,209 | — | 154,043 | — | 160,980 | — | 162,681 | — | — | 126,349 | — | 126,963 | — | — |
| Total current liabilities | US$ in thousands | 2,206,720 | 2,179,220 | 2,179,220 | 2,055,180 | 2,055,180 | 1,996,120 | 1,996,120 | 2,110,880 | 2,110,880 | 1,964,690 | 1,964,690 | 1,999,390 | 1,999,390 | 1,893,470 | 1,769,350 | 1,827,720 | 1,782,040 | 1,782,040 | 1,778,310 | 1,697,640 |
| Quick ratio | 0.27 | 0.23 | 0.32 | 0.34 | 0.44 | 0.57 | 0.66 | 0.54 | 0.61 | 0.49 | 0.57 | 0.45 | 0.53 | 0.42 | 0.38 | 0.44 | 0.38 | 0.45 | 0.34 | 0.36 |
January 31, 2025 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($595,765K
+ $899K
+ $—K)
÷ $2,206,720K
= 0.27
The quick ratio, also known as the acid-test ratio, measures a company's ability to meet its short-term obligations with its most liquid assets. A quick ratio below 1 indicates that the company may have difficulty meeting its short-term liabilities.
Based on the provided data for Chewy Inc, we observe fluctuations in the quick ratio over the reported periods. The quick ratio ranged from as low as 0.23 to as high as 0.66. This variability suggests changes in the company's liquidity position over time.
It is important to note that a quick ratio of 0.36 as of May 1, 2022, indicates that Chewy Inc had $0.36 in liquid assets to cover each dollar of its current liabilities at that point in time. Similarly, a quick ratio of 0.27 as of January 31, 2025, may raise concerns about the company's ability to pay off its short-term debts promptly.
Overall, the trend of the quick ratio should be monitored closely, as sustained low ratios could signal potential liquidity issues for Chewy Inc that may warrant further investigation and management attention.
Peer comparison
Jan 31, 2025