Chevron Corp (CVX)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 8,178,000 | 17,678,000 | 5,640,000 | 5,596,000 | 0 |
| Short-term investments | US$ in thousands | 744,000 | 851,000 | 374,000 | 327,000 | 349,000 |
| Total current liabilities | US$ in thousands | 32,258,000 | 34,208,000 | 26,791,000 | 22,183,000 | 26,530,000 |
| Cash ratio | 0.28 | 0.54 | 0.22 | 0.27 | 0.01 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($8,178,000K
+ $744,000K)
÷ $32,258,000K
= 0.28
The cash ratio of Chevron Corp. has fluctuated over the past five years. In 2023, the cash ratio decreased to 0.39 from 0.63 in 2022, indicating a lower ability to cover its short-term liabilities with its cash and cash equivalents. This decline may suggest a potential liquidity strain compared to the previous year. However, it is worth noting that the cash ratio in 2023 is still higher than that of 2021 and 2019, where it stood at 0.34 and 0.35 respectively. This indicates that although there was a decline from the previous year, Chevron still has improved liquidity compared to the two years prior. Overall, analyzing the cash ratio trends over the past five years can provide insights into Chevron's liquidity position and its ability to meet short-term obligations with its available cash resources.
Peer comparison
Dec 31, 2023