HP Inc (HPQ)
Cash ratio
Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Cash and cash equivalents | US$ in thousands | 3,238,000 | 2,785,000 | 2,442,000 | 2,263,000 | 3,107,000 | 1,673,000 | 1,923,000 | 1,405,000 | 3,145,000 | 5,386,000 | 4,477,000 | 3,394,000 | 4,299,000 | 3,439,000 | 3,424,000 | 4,160,000 | 4,864,000 | 4,679,000 | 4,054,000 | 4,205,000 |
Short-term investments | US$ in thousands | — | 4,632,000 | — | -671,000 | 3,336,000 | 3,197,000 | — | — | — | — | 5,000 | 5,000 | 5,000 | 8,000 | 12,000 | 3,000 | 274,000 | 57,000 | 52,000 | 348,000 |
Total current liabilities | US$ in thousands | 28,687,000 | 27,043,000 | 24,839,000 | 23,857,000 | 24,488,000 | 25,190,000 | 24,034,000 | 25,053,000 | 26,189,000 | 26,809,000 | 28,906,000 | 30,199,000 | 29,096,000 | 27,667,000 | 28,029,000 | 27,880,000 | 26,220,000 | 25,026,000 | 25,276,000 | 23,867,000 |
Cash ratio | 0.11 | 0.27 | 0.10 | 0.07 | 0.26 | 0.19 | 0.08 | 0.06 | 0.12 | 0.20 | 0.16 | 0.11 | 0.15 | 0.12 | 0.12 | 0.15 | 0.20 | 0.19 | 0.16 | 0.19 |
October 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($3,238,000K
+ $—K)
÷ $28,687,000K
= 0.11
The cash ratio of HP Inc has shown fluctuations over the past several quarters, ranging from 0.06 to 0.27. The cash ratio measures the company's ability to cover its short-term liabilities with cash and cash equivalents.
In the most recent quarter ending Oct 31, 2024, the cash ratio stood at 0.11, indicating that the company had $0.11 in cash and cash equivalents for every $1 of current liabilities. This suggests that HP Inc may have had a relatively lower level of liquidity compared to the previous quarter when the ratio was 0.27.
Looking at the trend over the past few quarters, the cash ratio has been somewhat volatile, with fluctuations in the level of cash reserves relative to current liabilities. It is crucial for HP Inc to maintain a healthy cash ratio to ensure it can meet its short-term obligations without relying heavily on external funding sources.
Further analysis of the company's cash management practices and liquidity position would be necessary to fully assess the implications of the fluctuations in the cash ratio and to determine if any strategic adjustments are needed to maintain financial stability and flexibility.
Peer comparison
Oct 31, 2024