Crowdstrike Holdings Inc (CRWD)

Quick ratio

Jan 31, 2025 Jan 31, 2024 Jan 31, 2023 Jan 31, 2022 Jan 31, 2021
Cash US$ in thousands 4,323,300 3,375,070 2,455,370 1,996,630 1,918,610
Short-term investments US$ in thousands 0 99,591 250,000 0 2,500
Receivables US$ in thousands
Total current liabilities US$ in thousands 3,461,050 2,697,280 2,109,070 1,406,830 863,553
Quick ratio 1.25 1.29 1.28 1.42 2.22

January 31, 2025 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($4,323,300K + $0K + $—K) ÷ $3,461,050K
= 1.25

The quick ratio of Crowdstrike Holdings Inc has shown a decline from 2.22 as of January 31, 2021, to 1.25 as of January 31, 2025. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets. A higher quick ratio is generally preferred as it indicates a stronger ability to cover immediate liabilities.

While the latest quick ratio of 1.25 still reflects the company's ability to cover its short-term liabilities, the decreasing trend suggests a closer relationship between current assets and current liabilities over the years. It may indicate a potential liquidity risk if the trend continues, emphasizing the importance of monitoring the company's ability to convert its assets into cash in a timely manner to meet its obligations.


See also:

Crowdstrike Holdings Inc Quick Ratio