M/I Homes Inc (MHO)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 821,570 | 732,804 | 311,542 | 236,368 | 260,810 |
| Short-term investments | US$ in thousands | — | 3,617 | 51,554 | 57,121 | 1,664 |
| Total current liabilities | US$ in thousands | 198,579 | 289,806 | 228,597 | 244,505 | 185,669 |
| Cash ratio | 4.14 | 2.54 | 1.59 | 1.20 | 1.41 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($821,570K
+ $—K)
÷ $198,579K
= 4.14
The cash ratio of M/I Homes Inc has demonstrated a positive trend over the years, indicating an increasing ability to cover its current liabilities with cash. The ratio has seen growth from 1.41 in December 31, 2020, to 4.14 in December 31, 2024. This suggests that the company has increased its liquidity and potentially strengthened its financial position. A higher cash ratio is generally considered favorable as it signifies a greater ability to meet short-term obligations without relying on external sources of financing. M/I Homes Inc's improving cash ratio reflects a healthier financial position and enhanced liquidity management.
Peer comparison
Dec 31, 2024