Coterra Energy Inc (CTRA)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 2,038,000 | 956,000 | 673,000 | 1,036,000 | 140,000 |
| Short-term investments | US$ in thousands | — | 0 | — | — | 113 |
| Total current liabilities | US$ in thousands | 1,136,000 | 1,660,000 | 1,193,000 | 1,220,000 | 390,000 |
| Cash ratio | 1.79 | 0.58 | 0.56 | 0.85 | 0.36 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($2,038,000K
+ $—K)
÷ $1,136,000K
= 1.79
Based on the data provided, Coterra Energy Inc's cash ratio has exhibited fluctuations over the past five years. The cash ratio increased from 0.36 as of December 31, 2020, to 0.85 as of December 31, 2021, indicating an improved liquidity position. However, there was a slight decrease in the cash ratio to 0.56 as of December 31, 2022, suggesting a potential decrease in the company's ability to cover its short-term liabilities with its cash on hand.
Subsequently, the cash ratio increased to 0.58 as of December 31, 2023, showing a slight improvement in liquidity compared to the previous year. The most significant increase was seen as of December 31, 2024, where the cash ratio surged to 1.79, signaling a strong ability to cover short-term obligations with its cash reserves.
Overall, the trend in Coterra Energy Inc's cash ratio indicates varying levels of liquidity over the years, with notable improvements seen in 2021 and 2024. It is essential for the company to maintain a healthy cash position to meet its short-term obligations effectively.
Peer comparison
Dec 31, 2024