Insight Enterprises Inc (NSIT)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 268,730 | 163,637 | 103,840 | 128,313 | 114,668 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 3,373,380 | 2,866,410 | 2,515,260 | 2,227,460 | 1,883,530 |
| Cash ratio | 0.08 | 0.06 | 0.04 | 0.06 | 0.06 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($268,730K
+ $—K)
÷ $3,373,380K
= 0.08
Insight Enterprises Inc.'s cash ratio, a measure of the company's ability to cover its short-term liabilities with its readily available cash and cash equivalents, has shown a fluctuating trend over the past five years.
As of December 31, 2023, the cash ratio stands at 0.17, showing an improvement compared to the prior year's ratio of 0.13. This indicates that the company had $0.17 in cash and cash equivalents for every $1 of current liabilities, suggesting a stronger liquidity position compared to the previous year.
Looking further back, the cash ratio was 0.12 in 2021, 0.14 in 2020, and 0.14 in 2019. The company's liquidity position seems to have improved significantly since 2021, where the cash ratio was at its lowest level in the past five years.
Overall, Insight Enterprises Inc. appears to have enhanced its ability to meet its short-term obligations with its cash resources in the most recent fiscal year. However, it is essential for the company to continue monitoring and managing its liquidity effectively to ensure it can swiftly meet its financial commitments as they come due.
Peer comparison
Dec 31, 2023