ITT Inc (ITT)
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 | 489,200 | 430,800 | 462,100 | 462,000 | 561,200 | 514,500 | 525,700 | 710,400 | 647,500 | 585,800 | 578,800 | 780,200 | 859,800 | 782,300 | 819,100 | 839,900 | 612,100 | 555,700 | 531,900 | 554,000 |
| Short-term investments | US$ in thousands | 0 | — | — | — | 0 | — | — | — | 0 | — | — | — | 0 | — | — | — | 0 | — | — | — |
| Total current liabilities | US$ in thousands | 1,037,800 | 1,044,000 | 1,174,100 | 1,121,400 | 1,185,500 | 1,269,100 | 1,303,400 | 1,242,300 | 928,300 | 899,200 | 900,000 | 826,500 | 871,000 | 866,000 | 947,600 | 1,107,000 | 849,700 | 888,800 | 892,400 | 860,500 |
| Cash ratio | 0.47 | 0.41 | 0.39 | 0.41 | 0.47 | 0.41 | 0.40 | 0.57 | 0.70 | 0.65 | 0.64 | 0.94 | 0.99 | 0.90 | 0.86 | 0.76 | 0.72 | 0.63 | 0.60 | 0.64 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($489,200K
+ $0K)
÷ $1,037,800K
= 0.47
The cash ratio for ITT Inc fluctuated over the past eight quarters, ranging from 0.48 to 0.65. The cash ratio measures a company's ability to cover its short-term liabilities with its available cash and cash equivalents. A higher cash ratio indicates a stronger ability to meet short-term obligations without relying on external sources of financing.
In Q2 2022, the cash ratio was at its lowest point of 0.48, suggesting that ITT Inc had a relatively lower level of cash compared to its short-term liabilities at that time. However, in Q1 2022, the cash ratio significantly improved to 0.65, indicating a stronger liquidity position.
Throughout the quarters, the cash ratio seemed to fluctuate around the 0.50 mark, with minor deviations above and below this level. This relatively stable range could indicate that ITT Inc maintained a prudent balance between cash holdings and short-term liabilities, ensuring adequate liquidity for its operations.
Overall, while the cash ratio for ITT Inc showed some variability, it generally remained within a reasonable range, reflecting the company's ability to manage its short-term obligations effectively without relying excessively on external financing.
Peer comparison
Dec 31, 2023