National Vision Holdings Inc (EYE)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 73,948 | 149,896 | 229,425 | 305,800 | 373,903 |
| Short-term investments | US$ in thousands | — | 5,600 | 10,000 | — | — |
| Total current liabilities | US$ in thousands | 468,274 | 397,700 | 344,264 | 343,803 | 328,680 |
| Cash ratio | 0.16 | 0.39 | 0.70 | 0.89 | 1.14 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($73,948K
+ $—K)
÷ $468,274K
= 0.16
The cash ratio of National Vision Holdings Inc has exhibited a decreasing trend over the past five years. Starting at a relatively healthy level of 1.14 in December 2020, the ratio has steadily declined to 0.16 by December 2024. This indicates a decreasing ability of the company to cover its short-term liabilities solely with its available cash assets. A cash ratio below 1 suggests that National Vision Holdings Inc may be relying more on other liquid assets or external financing to meet its short-term obligations. Management should monitor this trend closely to ensure adequate liquidity and financial health in the future.
Peer comparison
Dec 31, 2024