Nucor Corp (NUE)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 3,558,000 | 6,383,300 | 4,280,850 | 2,364,860 | 2,639,670 |
| Short-term investments | US$ in thousands | 581,000 | 747,479 | 576,946 | 253,005 | 408,004 |
| Total current liabilities | US$ in thousands | 4,977,000 | 4,594,510 | 4,329,740 | 5,157,410 | 2,627,860 |
| Cash ratio | 0.83 | 1.55 | 1.12 | 0.51 | 1.16 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($3,558,000K
+ $581,000K)
÷ $4,977,000K
= 0.83
The cash ratio of Nucor Corp has been fluctuating over the past five years. As of December 31, 2020, the cash ratio was 1.16, indicating that the company had $1.16 in cash and cash equivalents for every dollar of current liabilities. However, by December 31, 2021, the cash ratio decreased to 0.51, suggesting a lower level of liquidity.
The trend reversed in the following year, as by December 31, 2022, the cash ratio improved to 1.12, signaling a stronger liquidity position. This positive trend continued in the subsequent years, with the cash ratio reaching 1.55 by December 31, 2023, indicating an increased ability to cover short-term obligations with available cash.
However, by December 31, 2024, the cash ratio decreased to 0.83, reflecting a potential decline in liquidity compared to the prior year. Overall, Nucor Corp's cash ratio has shown variability, with fluctuations in the company's ability to meet its short-term obligations solely from its cash and cash equivalents. It is essential for investors and stakeholders to monitor this ratio to assess the company's liquidity position.
Peer comparison
Dec 31, 2024