Dana Inc (DAN)
Quick ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 494,000 | 419,000 | 430,000 | 351,000 | 529,000 | 421,000 | 484,000 | 401,000 | 425,000 | 371,000 | 321,000 | 259,000 | 268,000 | 220,000 | 384,000 | 483,000 | 559,000 | 956,000 | 694,000 | 628,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | 17,000 | 13,000 | 19,000 | 19,000 | 17,000 | 18,000 | 59,000 | 26,000 | 21,000 | 22,000 | 19,000 | 23,000 |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 2,561,000 | 2,716,000 | 2,758,000 | 2,565,000 | 2,602,000 | 2,670,000 | 2,720,000 | 2,876,000 | 2,479,000 | 2,658,000 | 2,605,000 | 2,620,000 | 2,174,000 | 2,173,000 | 2,200,000 | 2,170,000 | 1,941,000 | 1,837,000 | 1,379,000 | 2,067,000 |
| Quick ratio | 0.19 | 0.15 | 0.16 | 0.14 | 0.20 | 0.16 | 0.18 | 0.14 | 0.18 | 0.14 | 0.13 | 0.11 | 0.13 | 0.11 | 0.20 | 0.23 | 0.30 | 0.53 | 0.52 | 0.31 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($494,000K
+ $—K
+ $—K)
÷ $2,561,000K
= 0.19
The quick ratio of Dana Inc has fluctuated over the observed periods, ranging from a low of 0.11 to a high of 0.53. Generally, the quick ratio indicates the company's ability to meet its short-term obligations with its most liquid assets.
A quick ratio below 1 suggests that the company may have difficulty meeting its short-term liabilities without relying on the sale of inventory. The trend of Dana Inc's quick ratio shows some variability with occasional improvements, but it seems to generally remain below 1.
A quick ratio of 0.30 in December 31, 2020, increased to 0.53 by September 30, 2020, indicating a temporary improvement in liquidity. However, the ratio subsequently declined reaching a low of 0.11 in September 30, 2021, suggesting a potential strain on the company's ability to cover short-term obligations.
It is important for Dana Inc to closely monitor its quick ratio and consider strategies to improve liquidity, such as managing inventory levels, optimizing accounts receivable collections, or increasing cash reserves to ensure it can meet its short-term liabilities efficiently.
Peer comparison
Dec 31, 2024