Deere & Company (DE)
Quick ratio
| Oct 27, 2024 | Oct 29, 2023 | Oct 30, 2022 | Oct 31, 2021 | Nov 1, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | 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 |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 13,561,000 | 17,964,000 | 12,592,000 | 10,919,000 | 21,000 |
| Quick ratio | 0.63 | 0.47 | 0.44 | 0.80 | 367.00 |
October 27, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($7,324,000K
+ $1,154,000K
+ $—K)
÷ $13,561,000K
= 0.63
The quick ratio of Deere & Company has shown fluctuations over the past five years. In 2024, the quick ratio stands at 0.63, indicating that the company has $0.63 of liquid assets available to cover each dollar of current liabilities. This represents an improvement from the previous year's quick ratio of 0.47, suggesting a stronger ability to meet short-term obligations.
Compared to 2022 and 2021, where the quick ratios were 0.44 and 0.80 respectively, the current ratio seems to be more in line with historical trends. However, it is noteworthy that the quick ratio was exceptionally high in 2020 at 367.00, which is likely an outlier caused by certain accounting anomalies or non-recurring events.
Overall, the upward trend in the quick ratio from 2023 to 2024 indicates that Deere & Company may be managing its short-term liquidity more efficiently. However, further analysis of the company's liquidity position and its ability to convert current assets into cash quickly would provide a more comprehensive understanding of its financial health.
Peer comparison
Oct 27, 2024