Patterson Companies Inc (PDCO)
Cash ratio
| Apr 30, 2024 | Apr 27, 2024 | Apr 30, 2023 | Apr 29, 2023 | Apr 30, 2022 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 114,462 | 114,462 | 159,669 | 159,669 | 142,014 |
| Short-term investments | US$ in thousands | 5,781 | — | 5,875 | 5,875 | 3,875 |
| Total current liabilities | US$ in thousands | 1,332,550 | 1,332,550 | 1,085,330 | 1,085,330 | 1,015,670 |
| Cash ratio | 0.09 | 0.09 | 0.15 | 0.15 | 0.14 |
April 30, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($114,462K
+ $5,781K)
÷ $1,332,550K
= 0.09
The cash ratio measures a company's ability to cover its short-term liabilities with its cash and cash equivalents. For Patterson Companies Inc, the cash ratio has remained relatively stable over the past few years, ranging from 0.09 to 0.15.
In April 2022 and April 2023, the cash ratio was at 0.14 and 0.15 respectively, indicating that the company had $0.14 and $0.15 in cash for every dollar of short-term liabilities. The slight increase in the cash ratio from 2022 to 2023 suggests an improvement in the company's liquidity position during this period.
However, in April 2024, the cash ratio decreased to 0.09, indicating that the company had $0.09 in cash for every dollar of short-term liabilities. This decline in the cash ratio may suggest some challenges in managing or increasing the company's cash reserves relative to its short-term obligations.
Overall, while Patterson Companies Inc has maintained a relatively stable cash ratio in recent years, stakeholders should monitor any fluctuations in this ratio closely to assess the company's liquidity and financial health.
Peer comparison
Apr 30, 2024