Live Nation Entertainment Inc (LYV)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 6,095,420 | 6,231,870 | 5,606,460 | 4,884,730 | 2,537,790 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 9,358,280 | 9,959,900 | 8,303,320 | 6,855,720 | 3,796,570 |
| Quick ratio | 0.65 | 0.63 | 0.68 | 0.71 | 0.67 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($6,095,420K
+ $—K
+ $—K)
÷ $9,358,280K
= 0.65
The quick ratio, also known as the acid-test ratio, measures a company's ability to meet its short-term obligations with its most liquid assets. Live Nation Entertainment Inc's quick ratio has shown some fluctuation over the past five years.
As of December 31, 2020, the quick ratio stood at 0.67, indicating that the company had $0.67 in liquid assets available to cover each dollar of its current liabilities. This ratio improved slightly to 0.71 by December 31, 2021, suggesting a modest enhancement in the company's short-term liquidity position.
By December 31, 2022, the quick ratio decreased to 0.68, indicating a slight decline in liquidity compared to the previous year. Subsequently, on December 31, 2023, the ratio further dropped to 0.63, signaling a potential challenge in meeting short-term obligations with available liquid assets.
However, by December 31, 2024, Live Nation Entertainment Inc was able to improve its quick ratio to 0.65, suggesting a partial recovery in its short-term liquidity position. Overall, the fluctuations in the quick ratio over the years indicate varying levels of the company's ability to cover its current liabilities with liquid assets.
Peer comparison
Dec 31, 2024