Fastenal Company (FAST)
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 | 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 and cash equivalents | US$ in thousands | 221,300 | 297,500 | 243,600 | 239,800 | 230,100 | 231,500 | 247,900 | 234,200 | 236,200 | 250,500 | 321,800 | 333,900 | 245,700 | 331,800 | 201,500 | 160,700 | 174,900 | 191,200 | 175,000 | 185,400 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 661,300 | 667,900 | 736,600 | 863,200 | 789,800 | 802,600 | 849,000 | 745,500 | 682,200 | 662,500 | 650,200 | 661,200 | 612,700 | 603,000 | 631,300 | 580,400 | 544,700 | 555,100 | 527,900 | 554,600 |
| Cash ratio | 0.33 | 0.45 | 0.33 | 0.28 | 0.29 | 0.29 | 0.29 | 0.31 | 0.35 | 0.38 | 0.49 | 0.50 | 0.40 | 0.55 | 0.32 | 0.28 | 0.32 | 0.34 | 0.33 | 0.33 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($221,300K
+ $—K)
÷ $661,300K
= 0.33
Fastenal Co.'s cash ratio has exhibited fluctuations over the past eight quarters. The cash ratio, which measures the company's ability to cover its short-term liabilities with cash and cash equivalents, has ranged from a low of 0.42 in Q1 2023 to a high of 0.69 in Q3 2023.
The trend indicates that the company's liquidity position improved in Q3 2023, with a higher cash ratio compared to the previous quarter. However, this improvement followed a decline from the preceding quarter.
The cash ratio of 0.62 in Q4 2023 suggests that Fastenal Co. had cash and cash equivalents equal to 62% of its current liabilities, indicating a relatively adequate liquidity position at the end of the last quarter.
Overall, while the company's cash ratio has fluctuated, it has generally maintained levels above 0.5, indicating a solid ability to meet its short-term obligations with available cash resources. Investors and stakeholders may monitor future trends in the cash ratio to assess the company's liquidity management.
Peer comparison
Dec 31, 2023