NetApp Inc (NTAP)
Cash ratio
| Apr 30, 2024 | Apr 26, 2024 | Apr 30, 2023 | Apr 28, 2023 | Apr 30, 2022 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 1,903,000 | 1,903,000 | 2,316,000 | 2,316,000 | 4,134,000 |
| Short-term investments | US$ in thousands | 1,355,000 | 1,349,000 | 754,000 | 754,000 | 22,000 |
| Total current liabilities | US$ in thousands | 4,106,000 | 4,106,000 | 3,467,000 | 3,467,000 | 3,953,000 |
| Cash ratio | 0.79 | 0.79 | 0.89 | 0.89 | 1.05 |
April 30, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,903,000K
+ $1,355,000K)
÷ $4,106,000K
= 0.79
The cash ratio of NetApp Inc has been gradually decreasing over the years, starting at 1.05 on April 30, 2022, and declining to 0.79 by April 30, 2024. This indicates that the company's ability to cover its short-term liabilities solely with its cash and cash equivalents has weakened over time. A lower cash ratio may suggest potential liquidity challenges in meeting immediate financial obligations. It is essential for NetApp Inc to closely monitor its liquidity position and implement strategies to improve its cash reserves for financial stability and sustainability.
Peer comparison
Apr 30, 2024