eBay Inc (EBAY)
Quick 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 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 1,985,000 | 2,550,000 | 2,268,000 | 2,082,000 | 2,154,000 | 2,037,000 | 1,742,000 | 1,798,000 | 1,379,000 | 1,244,000 | 2,128,000 | 1,667,000 | 1,101,000 | 963,000 | 1,006,000 | 880,000 | 901,000 | 897,000 | 1,508,000 | 1,695,000 |
| Short-term investments | US$ in thousands | 4,474,000 | 4,023,000 | 2,656,000 | 2,866,000 | 2,625,000 | 1,457,000 | 1,483,000 | 3,771,000 | 5,944,000 | 9,279,000 | 15,092,000 | 1,700,000 | 2,392,000 | 2,697,000 | 4,297,000 | 3,550,000 | 1,850,000 | 2,189,000 | 2,969,000 | 2,746,000 |
| Receivables | US$ in thousands | 94,000 | 74,000 | 77,000 | 80,000 | 90,000 | 84,000 | 82,000 | 87,000 | 98,000 | 93,000 | 137,000 | 348,000 | 412,000 | 477,000 | 845,000 | 635,000 | 700,000 | 714,000 | 797,000 | 716,000 |
| Total current liabilities | US$ in thousands | 4,520,000 | 4,782,000 | 3,555,000 | 3,206,000 | 4,271,000 | 3,974,000 | 3,972,000 | 4,982,000 | 4,622,000 | 5,296,000 | 5,063,000 | 5,130,000 | 4,002,000 | 3,840,000 | 4,692,000 | 4,673,000 | 4,066,000 | 3,685,000 | 5,209,000 | 4,500,000 |
| Quick ratio | 1.45 | 1.39 | 1.41 | 1.57 | 1.14 | 0.90 | 0.83 | 1.14 | 1.61 | 2.00 | 3.43 | 0.72 | 0.98 | 1.08 | 1.31 | 1.08 | 0.85 | 1.03 | 1.01 | 1.15 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,985,000K
+ $4,474,000K
+ $94,000K)
÷ $4,520,000K
= 1.45
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. A higher quick ratio indicates better liquidity and financial health.
EBay Inc.'s quick ratio has fluctuated over the past eight quarters, ranging from 1.28 to 2.45. In Q4 2023, the quick ratio stood at 2.44, which suggests that EBay had $2.44 of liquid assets available to cover each $1 of current liabilities. This indicates strong liquidity position compared to previous quarters.
The trend of increasing quick ratios from Q3 2022 to Q4 2023 reflects an improvement in EBay's ability to meet its short-term obligations with its liquid assets. Additionally, the fact that the quick ratio has consistently been above 1.0 indicates that EBay has had more than enough liquid assets to cover its current liabilities in each of those quarters.
Overall, EBay's quick ratio trend indicates a positive liquidity position, which can provide a sense of security to investors and creditors regarding the company's ability to navigate short-term financial challenges.
Peer comparison
Dec 31, 2023