Mohawk Industries Inc (MHK)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 642,550 | 509,623 | 268,895 | 768,625 | 134,785 |
| Short-term investments | US$ in thousands | 0 | 158,000 | 323,000 | 571,741 | 42,500 |
| Total current liabilities | US$ in thousands | 3,145,910 | 3,070,280 | 2,946,360 | 2,371,250 | 2,712,580 |
| Cash ratio | 0.20 | 0.22 | 0.20 | 0.57 | 0.07 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($642,550K
+ $0K)
÷ $3,145,910K
= 0.20
The cash ratio of Mohawk Industries, Inc. has shown some fluctuations over the past five years. As of December 31, 2023, the cash ratio stood at 0.37, indicating that the company has $0.37 in cash and cash equivalents for every $1 of current liabilities. This ratio has decreased slightly compared to the previous year when it was 0.39.
Looking back at the historical trend, the cash ratio was relatively low in 2021 at 0.34, which may have signaled a lower liquidity position compared to other years. However, in 2020, there was a significant increase in the cash ratio to 0.73, suggesting a stronger liquidity position that year.
The cash ratio in 2019 was quite low at 0.23, indicating that the company may have had difficulties in meeting its short-term obligations with its available cash reserves at that time. Overall, the varying levels of the cash ratio over the years reflect fluctuations in Mohawk Industries' liquidity position and its ability to cover short-term liabilities with cash on hand.
Peer comparison
Dec 31, 2023