Lam Research Corp (LRCX)

Quick ratio

		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	Dec 31, 2019	Sep 30, 2019
Cash	US$ in thousands	5,847,860	5,672,230	5,623,290	5,126,150	5,337,060	5,305,650	4,484,720	4,256,500	3,522,000	4,194,720	5,086,540	4,042,150	4,418,260	3,673,370	3,687,160	4,129,070	4,915,170	3,961,590	3,035,890	4,607,180
Short-term investments	US$ in thousands	—	—	14,720	30,557	37,641	63,849	103,130	120,551	135,731	160,072	242,590	569,472	1,310,870	2,116,100	2,355,070	2,528,840	1,795,080	1,431,550	1,647,870	983,650
Receivables	US$ in thousands	2,519,250	2,203,710	2,707,460	2,810,950	2,823,380	3,262,140	4,070,090	4,569,740	4,313,820	3,702,320	3,402,840	3,397,180	3,026,430	2,809,070	2,900,360	2,317,920	2,097,100	2,191,070	2,030,490	1,635,640
Total current liabilities	US$ in thousands	4,338,440	4,430,090	4,272,380	4,247,180	4,184,920	4,441,330	4,546,920	5,053,380	4,564,760	4,194,740	3,863,150	3,409,220	3,527,870	3,612,330	3,591,050	3,406,870	3,162,440	2,105,660	2,565,500	2,457,680
Quick ratio		1.93	1.78	1.95	1.88	1.96	1.94	1.90	1.77	1.75	1.92	2.26	2.35	2.48	2.38	2.49	2.63	2.78	3.60	2.62	2.94

June 30, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($5,847,860K + $—K + $2,519,250K) ÷ $4,338,440K
= 1.93

The quick ratio of Lam Research Corp has shown fluctuations over the past few quarters. The company's quick ratio has generally been healthy and above 1, indicating that it has an adequate level of liquid assets to cover its short-term liabilities. The quick ratio has ranged from a low of 1.75 to a high of 3.60 over the period under consideration, with an average quick ratio of approximately 2.25.

In recent quarters, the quick ratio has been relatively stable, with figures around 1.90 to 2.00. This stability suggests that the company has been effectively managing its liquidity position. The higher quick ratios observed in earlier periods, such as 2.26, 2.35, and 2.48, indicate a stronger ability to meet short-term obligations without relying extensively on inventory.

Overall, the trend in Lam Research Corp's quick ratio reflects a consistent ability to meet short-term financial obligations with liquid assets. However, it is important to monitor the quick ratio going forward to ensure that the company maintains its liquidity position in the face of changing business conditions.