Caesars Entertainment Corporation (CZR)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 1,005,000 | 1,038,000 | 1,070,000 | 1,776,000 | 206,000 |
| Short-term investments | US$ in thousands | — | — | 319,000 | 2,021,000 | 34,634 |
| Total current liabilities | US$ in thousands | 2,690,000 | 2,668,000 | 5,297,000 | 2,513,000 | 688,000 |
| Cash ratio | 0.37 | 0.39 | 0.26 | 1.51 | 0.35 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,005,000K
+ $—K)
÷ $2,690,000K
= 0.37
The cash ratio of Caesars Entertainment Inc has fluctuated over the past five years. The ratio measures the company's ability to cover its short-term liabilities with its available cash and cash equivalents.
In 2023, the cash ratio is 0.47, which indicates that for every dollar of current liabilities, the company has $0.47 in cash and cash equivalents to cover those obligations. This suggests that the company may have relatively lower liquidity compared to the previous year.
The trend shows an increase from 2019 to 2020, with the ratio reaching its peak at 0.78 in 2020. This indicates the company had a stronger ability to meet its short-term obligations with cash on hand in 2020.
However, there was a significant decline in the cash ratio in 2021 to 0.26, which could suggest a potential liquidity challenge or a decrease in cash reserves compared to the previous year. The company then improved its cash ratio in 2022 to 0.49, indicating a better position in terms of liquidity.
In summary, Caesars Entertainment Inc's cash ratio has shown fluctuations over the past five years, with variations in the company's ability to cover its short-term liabilities with available cash and cash equivalents. It is crucial for the company to maintain a healthy cash ratio to ensure it can meet its obligations in a timely manner.
Peer comparison
Dec 31, 2023