Knight Transportation Inc (KNX)
Cash ratio
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Cash and cash equivalents | US$ in thousands | 365,945 | 168,545 | 196,770 | 261,001 | 156,699 |
Short-term investments | US$ in thousands | -147,684 | 530 | 7,175 | 5,866 | 9,001 |
Total current liabilities | US$ in thousands | 1,706,750 | 1,825,290 | 894,007 | 1,074,820 | 839,708 |
Cash ratio | 0.13 | 0.09 | 0.23 | 0.25 | 0.20 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($365,945K
+ $-147,684K)
÷ $1,706,750K
= 0.13
The cash ratio of Knight Transportation Inc has shown variations over the years based on the data provided. It increased from 0.20 in December 31, 2020, to 0.25 by December 31, 2021, indicating a stronger liquidity position. However, it slightly decreased to 0.23 by December 31, 2022.
There was a significant drop in the cash ratio to 0.09 by December 31, 2023, which may raise concerns about the company's ability to cover its short-term liabilities with cash and cash equivalents. The ratio improved slightly to 0.13 by December 31, 2024, but it is still relatively lower compared to the previous years.
Overall, while the cash ratio fluctuated during the period, it is essential for Knight Transportation Inc to closely monitor its liquidity position to ensure it maintains sufficient cash reserves to meet its short-term obligations effectively.
Peer comparison
Dec 31, 2024