Fox Corp Class A (FOXA)
Cash ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 4,319,000 | 4,272,000 | 5,200,000 | 5,886,000 | 4,645,000 |
| Short-term investments | US$ in thousands | 797,000 | 884,000 | 435,000 | 788,000 | 531,000 |
| Total current liabilities | US$ in thousands | 2,952,000 | 3,763,000 | 2,296,000 | 3,002,000 | 1,906,000 |
| Cash ratio | 1.73 | 1.37 | 2.45 | 2.22 | 2.72 |
June 30, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($4,319,000K
+ $797,000K)
÷ $2,952,000K
= 1.73
The cash ratio of Fox Corp Class A has fluctuated over the past five years, ranging from 1.37 to 2.72. The cash ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio indicates a stronger liquidity position and the ability to meet short-term obligations without relying on external sources.
In the latest fiscal year ending June 30, 2024, Fox Corp Class A's cash ratio stood at 1.73, indicating that the company had $1.73 in cash and cash equivalents for every dollar of short-term liabilities. This suggests that Fox Corp Class A has a moderate level of liquidity, but it may need to manage its short-term obligations carefully.
The downward trend in the cash ratio from 2020 to 2023 could signal a potential liquidity concern or a change in the company's cash management practices. However, the slight increase in the cash ratio in 2024 compared to the previous year may indicate some improvement in liquidity management.
Overall, while Fox Corp Class A has maintained a relatively healthy cash ratio over the years, management should continue to monitor and optimize its liquidity position to ensure the timely fulfillment of short-term obligations and seize potential investment opportunities.
Peer comparison
Jun 30, 2024