PACCAR Inc (PCAR)
Cash ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 7,181,700 | 5,906,300 | 5,145,900 | 4,410,100 | 4,690,900 | 3,323,500 | 3,231,300 | 3,314,900 | 3,428,300 | 2,227,800 | 3,069,800 | 3,320,000 | 3,539,600 | 3,344,300 | 3,128,000 | 3,323,100 | 4,175,100 | 3,669,500 | 3,219,400 | 2,842,600 |
| Short-term investments | US$ in thousands | 1,477,600 | 1,743,100 | 1,690,500 | 1,638,900 | 1,614,200 | 1,544,200 | 1,559,200 | 1,515,200 | 1,559,400 | 1,549,400 | 1,434,600 | 1,421,100 | 1,429,000 | 1,194,300 | 1,147,200 | 1,097,000 | 1,162,100 | 1,107,800 | 1,117,300 | 1,081,600 |
| Total current liabilities | US$ in thousands | 23,800 | 7,371,300 | 7,484,200 | 7,514,200 | 18,000 | 5,971,800 | 6,227,900 | 6,325,900 | 19,600 | 5,583,700 | 5,881,400 | 5,823,400 | 25,500 | 5,271,300 | 4,969,500 | 5,156,500 | 39,900 | 5,557,800 | 5,556,900 | 5,592,800 |
| Cash ratio | 363.84 | 1.04 | 0.91 | 0.81 | 350.28 | 0.82 | 0.77 | 0.76 | 254.47 | 0.68 | 0.77 | 0.81 | 194.85 | 0.86 | 0.86 | 0.86 | 133.76 | 0.86 | 0.78 | 0.70 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($7,181,700K
+ $1,477,600K)
÷ $23,800K
= 363.84
Based on the provided data, Paccar Inc.'s cash ratio has shown a relatively stable trend over the past eight quarters. The cash ratio measures the company's ability to cover its short-term liabilities using its cash and cash equivalents. Paccar's cash ratio has ranged from 0.33 to 0.42 during this period.
The cash ratio increased from 0.37 in Q1 2023 to 0.42 in Q4 2023, which indicates an improvement in the company's liquidity position. Generally, a higher cash ratio is favorable as it suggests that Paccar has more cash on hand to meet its short-term obligations.
Overall, Paccar Inc. appears to have maintained a healthy level of liquidity over the past two years, as evidenced by its consistent cash ratio values hovering around the 0.35 to 0.42 range. This indicates that the company has a sufficient amount of cash to cover its short-term liabilities, which can provide a sense of financial stability and flexibility in managing its operations and obligations.
Peer comparison
Dec 31, 2023