Nike Inc (NKE)
Cash ratio
| May 31, 2025 | Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 7,464,000 | 8,601,000 | 7,979,000 | 8,485,000 | 9,860,000 | 8,960,000 | 7,919,000 | 6,178,000 | 7,441,000 | 6,955,000 | 6,490,000 | 7,226,000 | 8,574,000 | 8,704,000 | 10,751,000 | 10,720,000 | 9,889,000 | 8,516,000 | 8,635,000 | 8,148,000 |
| Short-term investments | US$ in thousands | 1,687,000 | 1,792,000 | 1,782,000 | 1,809,000 | 1,722,000 | 1,613,000 | 2,008,000 | 2,612,000 | 3,234,000 | 3,847,000 | 4,131,000 | 4,650,000 | 4,423,000 | 4,763,000 | 4,352,000 | 2,975,000 | 3,587,000 | 4,012,000 | 3,177,000 | 1,332,000 |
| Total current liabilities | US$ in thousands | 10,566,000 | 11,223,000 | 11,246,000 | 10,628,000 | 10,593,000 | 9,029,000 | 8,999,000 | 8,461,000 | 9,256,000 | 9,548,000 | 10,199,000 | 10,919,000 | 10,730,000 | 8,818,000 | 8,857,000 | 8,269,000 | 9,674,000 | 8,894,000 | 8,871,000 | 8,619,000 |
| Cash ratio | 0.87 | 0.93 | 0.87 | 0.97 | 1.09 | 1.17 | 1.10 | 1.04 | 1.15 | 1.13 | 1.04 | 1.09 | 1.21 | 1.53 | 1.71 | 1.66 | 1.39 | 1.41 | 1.33 | 1.10 |
May 31, 2025 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($7,464,000K
+ $1,687,000K)
÷ $10,566,000K
= 0.87
The cash ratio of Nike Inc. over the analyzed period demonstrates a generally stable liquidity position, with fluctuations within a relatively narrow range. At the beginning of the period, on August 31, 2020, the cash ratio stood at 1.10, indicating that Nike’s cash and cash equivalents were slightly more than sufficient to cover its current liabilities. The ratio experienced a notable increase thereafter, reaching a peak of 1.71 on November 30, 2021, which suggests an improving liquidity cushion and a strong short-term liquidity position during this interval.
Following this peak, there was a downward trend observable in subsequent quarters. By February 28, 2022, the cash ratio declined to 1.53, and it continued to decrease gradually over the next year, dropping to 1.09 on August 31, 2022. This declining trend persisted into late 2022 and early 2023, with the ratio falling to 1.04 on November 30, 2022, then rising slightly again to 1.13 by February 28, 2023, before stabilizing around 1.15 at the end of May 2023.
From mid-2023 onward, the ratio experienced further reductions, reaching a low of 0.87 on November 30, 2024, and persisted around that level through the first half of 2025, with values of 0.93 on February 28, 2025, and 0.87 on May 31, 2025. The trend toward decreasing cash ratio indicates a gradual decline in the proportion of cash and cash equivalents in relation to current liabilities, which could suggest increased utilization of cash for operational needs, investments, or debt management, or a strategic shift in liquidity management.
Overall, the cash ratio trend displays initial robustness in liquidity, peaking in late 2021, followed by a gradual decline towards mid-2025. Despite this downward trend, the ratios often remained above 0.87, indicating that Nike generally maintained a comfortable liquidity buffer in terms of cash relative to current liabilities throughout the period.
Peer comparison
May 31, 2025