Lattice Semiconductor Corporation (LSCC)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 128,317 | 145,722 | 131,570 | 182,332 | 118,081 |
| Short-term investments | US$ in thousands | — | — | — | — | 0 |
| Total current liabilities | US$ in thousands | 97,400 | 127,373 | 106,181 | 79,731 | 99,819 |
| Cash ratio | 1.32 | 1.14 | 1.24 | 2.29 | 1.18 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($128,317K
+ $—K)
÷ $97,400K
= 1.32
The cash ratio measures a company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio indicates a stronger ability to cover these obligations.
Looking at the cash ratio trend for Lattice Semiconductor Corporation over the past five years, we observe some fluctuations. In 2020, the company had a notably high cash ratio of 2.29, indicating a robust liquidity position that year. However, this ratio decreased in the subsequent years, reaching its lowest point in 2022 at 1.14.
In 2023, the cash ratio improved to 1.32, showing a better ability to meet short-term obligations with available cash and cash equivalents compared to the previous year. While the ratio is still below the peak seen in 2020, the upward trend suggests a strengthening liquidity position for the company.
It is important to note that the ideal level of the cash ratio can vary across industries, and it is essential to consider other liquidity and financial metrics in conjunction with the cash ratio for a comprehensive analysis of Lattice Semiconductor Corporation's financial health.
Peer comparison
Dec 31, 2023