Penumbra Inc (PEN)

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	167,486	100,757	114,167	94,688	69,858	54,844	58,234	68,163	59,379	66,290	82,277	55,632	69,670	80,115	134,381	72,456	72,779	111,581	77,261	67,850
Short-term investments	US$ in thousands	121,701	148,098	106,896	104,409	118,172	129,583	146,135	172,178	195,496	200,637	156,722	186,977	195,162	188,611	143,914	95,766	116,610	82,864	109,996	27,756
Total current liabilities	US$ in thousands	151,144	145,078	144,124	146,328	144,932	138,332	145,604	130,099	123,197	116,059	139,190	111,862	105,932	108,055	77,612	88,074	91,048	86,167	69,761	69,412
Cash ratio		1.91	1.72	1.53	1.36	1.30	1.33	1.40	1.85	2.07	2.30	1.72	2.17	2.50	2.49	3.59	1.91	2.08	2.26	2.68	1.38

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($167,486K + $121,701K) ÷ $151,144K
= 1.91

The cash ratio of Penumbra Inc has shown a fluctuating trend over the past few quarters. The cash ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents.

In Q4 2023, the cash ratio improved to 2.15, indicating that Penumbra Inc had $2.15 in cash and cash equivalents for every $1 of current liabilities. This may imply that the company had a strong liquidity position at the end of the year, which could help meet its short-term obligations.

However, in the previous quarters, the cash ratio was lower, ranging from 1.98 to 1.51. This suggests that Penumbra Inc had a lower cash buffer relative to its current liabilities during those periods.

Overall, while the recent increase in the cash ratio is positive, it is essential for Penumbra Inc to monitor and maintain a healthy cash ratio to ensure it can meet its short-term financial obligations efficiently.