Deere & Company (DE)
Cash ratio
| Oct 27, 2024 | Oct 29, 2023 | Oct 30, 2022 | Oct 31, 2021 | Nov 1, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 7,324,000 | 7,458,000 | 4,774,000 | 8,017,000 | 7,066,000 |
| Short-term investments | US$ in thousands | 1,154,000 | 946,000 | 734,000 | 728,000 | 641,000 |
| Total current liabilities | US$ in thousands | 13,561,000 | 17,964,000 | 12,592,000 | 10,919,000 | 21,000 |
| Cash ratio | 0.63 | 0.47 | 0.44 | 0.80 | 367.00 |
October 27, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($7,324,000K
+ $1,154,000K)
÷ $13,561,000K
= 0.63
The cash ratio of Deere & Company has fluctuated over the past five years. In October 2024, the cash ratio stood at 0.63, showing an improvement compared to the previous year where it was at 0.47. However, in October 2022 and 2023, the cash ratio was lower at 0.44 and 0.80 respectively.
The exceptionally high cash ratio of 367.00 recorded in November 2020 indicates a significant increase in cash reserves relative to current liabilities during that period, possibly due to specific events such as a large cash inflow or minimal liabilities.
Overall, a cash ratio above 1 indicates a company's ability to cover its short-term liabilities with cash and cash equivalents. Deere & Company's cash ratio fluctuations suggest varying levels of liquidity over the years, highlighting the importance of monitoring and managing liquidity effectively in the company's operations.
Peer comparison
Oct 27, 2024