ChampionX Corporation (CHX)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 507,681 | 288,557 | 250,187 | 251,678 | 201,421 |
| Short-term investments | US$ in thousands | — | 72,323 | — | — | — |
| Total current liabilities | US$ in thousands | 785,872 | 782,749 | 858,976 | 802,325 | 622,560 |
| Cash ratio | 0.65 | 0.46 | 0.29 | 0.31 | 0.32 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($507,681K
+ $—K)
÷ $785,872K
= 0.65
The cash ratio of ChampionX Corporation has shown fluctuations over the past five years. Starting at 0.32 in December 2020, the ratio slightly decreased to 0.31 by December 2021 and further dropped to 0.29 by December 2022. However, there was a notable improvement in December 2023, with the ratio rising to 0.46. The most significant increase occurred by December 2024, reaching a cash ratio of 0.65. This indicates a positive trend in the company's ability to cover its short-term obligations with its cash and cash equivalents. A higher cash ratio suggests a stronger liquidity position, which can be beneficial for handling unexpected expenses or downturns in the business environment.
Peer comparison
Dec 31, 2024