Pfizer Inc (PFE)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 2,853,000 | 416,000 | 1,944,000 | 1,786,000 | 1,121,000 |
| Short-term investments | US$ in thousands | 19,674,000 | 44,632,000 | 58,250,000 | 10,437,000 | 8,525,000 |
| Total current liabilities | US$ in thousands | 47,794,000 | 42,138,000 | 42,671,000 | 25,920,000 | 37,304,000 |
| Cash ratio | 0.47 | 1.07 | 1.41 | 0.47 | 0.26 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($2,853,000K
+ $19,674,000K)
÷ $47,794,000K
= 0.47
The cash ratio of Pfizer Inc. has fluctuated over the past five years, indicating changes in the company's ability to cover its short-term obligations with its cash and cash equivalents. In 2021, Pfizer's cash ratio was at its highest point of 0.92, suggesting that the company had a strong liquidity position to meet its immediate financial commitments. However, in 2019, the cash ratio was at its lowest at 0.42, indicating a lower ability to cover short-term obligations with available cash.
The decreasing trend from 2021 to 2023 may signal a potential decrease in Pfizer's short-term liquidity position, which could raise concerns about its ability to address unexpected financial obligations. It is essential for investors and stakeholders to monitor this trend closely to assess Pfizer's overall financial health and risk exposure in the short term.
Peer comparison
Dec 31, 2023