Neogen Corporation (NEOG)
Cash ratio
| Aug 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 120,477 | 161,437 | 205,765 | 178,832 | 163,240 | 67,134 | 100,000 | 107,098 | 44,473 | 42,879 | 51,119 | 71,283 | 75,602 | 73,482 | 113,867 | 60,947 | 66,269 | 50,774 | 66,414 | 56,289 |
| Short-term investments | US$ in thousands | 0 | 7,010 | 24,501 | 60,424 | 82,329 | 116,080 | 176,338 | 240,613 | 673,156 | 671,120 | 676,260 | 659,194 | 610,970 | 559,730 | 553,796 | 613,078 | 554,808 | 277,149 | 247,191 | 234,727 |
| Total current liabilities | US$ in thousands | 122,689 | 157,844 | 176,612 | 138,130 | 145,472 | 107,155 | 152,558 | 67,004 | 77,844 | 65,710 | 62,673 | 50,762 | 53,599 | 45,942 | 44,587 | 46,442 | 48,489 | 39,135 | 38,791 | 40,427 |
| Cash ratio | 0.98 | 1.07 | 1.30 | 1.73 | 1.69 | 1.71 | 1.81 | 5.19 | 9.22 | 10.87 | 11.61 | 14.39 | 12.81 | 13.78 | 14.97 | 14.51 | 12.81 | 8.38 | 8.08 | 7.20 |
August 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($120,477K
+ $0K)
÷ $122,689K
= 0.98
The cash ratio of Neogen Corporation has displayed fluctuations over the time period provided. The cash ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio indicates stronger liquidity and financial flexibility.
The company's cash ratio ranged from 0.98 to 14.97 during the period under review. In the latest period, the cash ratio was 0.98, which indicates that Neogen Corporation had almost enough cash and cash equivalents to cover its short-term obligations.
The cash ratio was highest at 14.97 on February 28, 2021, suggesting a significant increase in the company's liquidity position at that time. However, it decreased to 0.98 on August 31, 2024, which could indicate a potential strain on the company's liquidity position.
It is essential for Neogen Corporation to closely monitor its cash position and manage its liquidity effectively to ensure it can meet its short-term obligations as they come due. Further analysis of the company's cash flows and cash management practices would provide more insights into its liquidity position and financial health.
Peer comparison
Aug 31, 2024