FirstEnergy Corporation (FE)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 111,000 | 137,000 | 160,000 | 1,462,000 | 1,734,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 4,997,000 | 5,386,000 | 3,958,000 | 4,416,000 | 5,004,000 |
| Cash ratio | 0.02 | 0.03 | 0.04 | 0.33 | 0.35 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($111,000K
+ $—K)
÷ $4,997,000K
= 0.02
The cash ratio of FirstEnergy Corporation has shown a gradual decline over the years, starting at 0.35 in December 31, 2020, and decreasing to 0.02 by December 31, 2024. This downward trend indicates that the company's ability to cover its short-term liabilities with cash and cash equivalents has weakened significantly. A declining cash ratio may suggest that the company is having difficulties in maintaining sufficient liquid assets to meet its immediate financial obligations. It is important for FirstEnergy Corporation to closely monitor and manage its cash position to ensure liquidity and financial stability in the long run.
Peer comparison
Dec 31, 2024