DoubleVerify Holdings Inc (DV)

Cash ratio

		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
Cash and cash equivalents	US$ in thousands	310,131	259,212	295,437	285,738	267,813	242,687	223,738	211,600	221,591	319,825	330,355	49,815
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—
Total current liabilities	US$ in thousands	83,855	74,750	66,248	76,010	68,910	57,863	47,984	44,688	57,033	37,615	36,091	30,680
Cash ratio		3.70	3.47	4.46	3.76	3.89	4.19	4.66	4.74	3.89	8.50	9.15	1.62

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($310,131K + $—K) ÷ $83,855K
= 3.70

The cash ratio of DoubleVerify Holdings Inc has exhibited fluctuating trends over the last eight quarters. The cash ratio measures a company's ability to cover its short-term liabilities with its cash and cash equivalents.

The cash ratio peaked at 5.29 in Q1 2022, indicating that the company had $5.29 in cash and cash equivalents for every dollar of current liabilities. Subsequently, the ratio declined gradually over the next few quarters but remained above 4.0, reflecting a relatively strong liquidity position.

In more recent quarters, the cash ratio showed some volatility, with the lowest ratio of 3.73 recorded in Q3 2023. Despite the fluctuations, the cash ratio has generally remained above 3.0, suggesting that DoubleVerify Holdings Inc maintains a healthy level of liquidity to meet its short-term obligations.

Overall, the varying cash ratio values demonstrate the company's ability to manage its cash resources efficiently, although stakeholders should continue monitoring the trend to ensure a stable liquidity position in the future.