GATX Corporation (GATX)

Cash ratio

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Cash and cash equivalents	US$ in thousands	401,600	503,700	823,600	479,100	450,700	203,100	317,500	177,400	303,700	596,300	180,300	649,300	344,300	566,000	417,900	958,900	292,200	459,800	492,900	570,700
Short-term investments	US$ in thousands	—	—	—	—	0	0	0	0	148,500	604,300	596,500	400	0	2,400	3,200	4,600	5,600	6,900	8,200	8,300
Total current liabilities	US$ in thousands	10,400	11,100	10,700	10,800	11,000	12,300	10,900	20,300	17,300	16,300	20,000	18,600	18,100	20,700	17,900	19,600	23,600	13,500	5,900	275,500
Cash ratio		38.62	45.38	76.97	44.36	40.97	16.51	29.13	8.74	26.14	73.66	38.84	34.93	19.02	27.46	23.53	49.16	12.62	34.57	84.93	2.10

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($401,600K + $—K) ÷ $10,400K
= 38.62

The cash ratio of GATX Corporation has fluctuated over the period from March 31, 2020, to December 31, 2024. The cash ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents.

The cash ratio started at a healthy level of 2.10 on March 31, 2020, indicating that GATX had sufficient cash to cover its short-term obligations. However, the ratio spiked significantly to 84.93 on June 30, 2020, suggesting an unusually high amount of cash relative to current liabilities. This trend continued with fluctuations, showing both highs and lows over the subsequent quarters.

Throughout the following years, the cash ratio fluctuated within a range, indicating variations in the company's ability to cover its short-term liabilities with cash. Notable peaks and valleys were observed, with the ratio hitting a low of 8.74 on March 31, 2023, and reaching a high of 76.97 on June 30, 2024.

Overall, the cash ratio of GATX Corporation has displayed variability in its ability to meet short-term obligations using cash and cash equivalents. It is important for stakeholders to monitor this ratio closely to assess the company's liquidity position and financial health.