Copart Inc (CPRT)

Cash ratio

		Jul 31, 2024	Apr 30, 2024	Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020	Oct 31, 2019
Cash and cash equivalents	US$ in thousands	1,514,110	1,090,000	1,256,950	2,581,570	957,395	2,114,180	1,660,950	1,539,390	1,384,240	1,454,820	971,651	1,298,370	1,048,260	911,890	616,403	605,732	477,718	306,387	93,511	181,102
Short-term investments	US$ in thousands	1,908,050	2,000,330	1,411,120	48,982	1,406,590	—	—	—	—	224,889	374,866	—	—	—	—	—	—	—	—	—
Total current liabilities	US$ in thousands	628,567	563,419	526,023	624,417	492,769	506,564	487,623	504,477	440,889	449,095	417,860	491,911	421,031	413,045	371,015	407,536	356,044	286,568	342,837	323,318
Cash ratio		5.44	5.48	5.07	4.21	4.80	4.17	3.41	3.05	3.14	3.74	3.22	2.64	2.49	2.21	1.66	1.49	1.34	1.07	0.27	0.56

July 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,514,110K + $1,908,050K) ÷ $628,567K
= 5.44

The cash ratio of Copart Inc has shown a consistent upward trend over the analyzed periods, indicating an improving ability to cover its short-term liabilities with its available cash. The ratio stood at 5.44 as of July 31, 2024, reaching its highest point in recent periods. This suggests that for every dollar of current liabilities, Copart Inc had $5.44 in cash on hand, signaling a strong liquidity position. The company has steadily increased its cash reserves, highlighting a prudent financial management strategy. Overall, the upward trajectory of the cash ratio reflects Copart Inc's capacity to meet its short-term obligations and implies a reduced risk of liquidity issues.