JB Hunt Transport Services Inc (JBHT)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 46,983 | 53,344 | 51,927 | 355,549 | 313,302 |
| Short-term investments | US$ in thousands | — | — | — | 6,300 | — |
| Total current liabilities | US$ in thousands | 1,678,040 | 1,452,500 | 1,568,230 | 1,729,600 | 1,126,190 |
| Cash ratio | 0.03 | 0.04 | 0.03 | 0.21 | 0.28 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($46,983K
+ $—K)
÷ $1,678,040K
= 0.03
Based on the provided data, JB Hunt Transport Services Inc's cash ratio has been fluctuating over the years. The cash ratio measures a company's ability to cover its current liabilities with its cash and cash equivalents.
In 2020, the cash ratio was 0.28, indicating that the company had $0.28 in cash and cash equivalents for every dollar of current liabilities. This level suggests a relatively healthy liquidity position. However, in 2021, the cash ratio decreased to 0.21, which may indicate a slight decline in the company's ability to cover its short-term obligations with its available cash resources.
The cash ratio then dropped significantly to 0.03 in 2022, 2023, and 2024. A cash ratio of 0.03 implies that for every dollar of current liabilities, the company only had $0.03 in cash and cash equivalents on hand. This decline may raise concerns about the company's liquidity position and ability to meet its short-term obligations using its available cash resources.
Overall, the trend in JB Hunt Transport Services Inc's cash ratio shows a decrease in the company's ability to cover its short-term liabilities with cash over the years, indicating a potential liquidity challenge that investors and stakeholders may want to monitor closely.
Peer comparison
Dec 31, 2024