Netflix Inc (NFLX)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 7,116,910 | 5,147,180 | 6,027,800 | 8,205,550 | 5,018,440 |
| Short-term investments | US$ in thousands | 20,973 | 911,276 | 0 | — | — |
| Total current liabilities | US$ in thousands | 8,860,660 | 7,930,970 | 8,488,970 | 7,805,780 | 6,855,700 |
| Cash ratio | 0.81 | 0.76 | 0.71 | 1.05 | 0.73 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($7,116,910K
+ $20,973K)
÷ $8,860,660K
= 0.81
The cash ratio of Netflix Inc. has exhibited variability over the past five years.
As of Dec 31, 2023, the cash ratio stands at 0.97, indicating that for every dollar of current liabilities, Netflix holds $0.97 in cash and cash equivalents, suggesting a slight decrease from the previous year.
In Dec 31, 2022, the cash ratio was 1.04, reflecting an improvement from the prior year, indicating that for every dollar of current liabilities, Netflix held $1.04 in cash and cash equivalents.
On Dec 31, 2021, the cash ratio was 0.86, indicating a decrease from the prior year. This means that for every dollar of current liabilities, Netflix held $0.86 in cash and cash equivalents.
On Dec 31, 2020, the cash ratio was 1.17, demonstrating a significant improvement from the previous year. This suggests that for every dollar of current liabilities, Netflix held $1.17 in cash and cash equivalents.
In Dec 31, 2019, the cash ratio stood at 0.90, showing a slight decrease from the previous year, indicating that for every dollar of current liabilities, Netflix held $0.90 in cash and cash equivalents.
The fluctuation in the cash ratio over the years indicates variability in Netflix's ability to cover its short-term liabilities with its available cash and cash equivalents.