PulteGroup Inc (PHM)

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	1,806,580	1,848,450	1,728,710	1,278,020	1,053,100	231,301	662,780	1,145,010	1,779,090	1,568,320	1,663,270	1,579,590	2,582,200	2,067,280	1,658,530	1,816,780	1,217,910	736,986	631,309	1,055,460
Short-term investments	US$ in thousands	516,064	414,360	432,481	420,638	677,207	3,183	553,789	510,275	947,139	601,408	581,150	495,049	564,979	400,067	394,288	363,854	508,967	383,893	343,732	326,995
Total current liabilities	US$ in thousands	117,212	2,966,620	2,876,680	2,960,540	87,578	3,166,340	2,666,440	3,153,200	87,462	2,771,770	2,609,070	2,346,830	84,505	2,096,990	2,079,840	2,167,050	51,827	2,089,380	2,051,220	2,027,340
Cash ratio		19.82	0.76	0.75	0.57	19.76	0.07	0.46	0.52	31.17	0.78	0.86	0.88	37.24	1.18	0.99	1.01	33.32	0.54	0.48	0.68

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,806,580K + $516,064K) ÷ $117,212K
= 19.82

The cash ratio of PulteGroup Inc has exhibited fluctuations over the past eight quarters. The ratio measures the company's ability to cover its short-term liabilities with its available cash and cash equivalents.

In Q4 2023, the cash ratio improved to 0.77 compared to the previous quarter, indicating the company had more cash on hand relative to its short-term liabilities. This may suggest improved liquidity and financial health.

However, the cash ratio has shown variability in recent quarters, with Q3 2022 reflecting a significantly lower ratio of 0.18. This could signal potential liquidity challenges during that period.

Overall, the upward trend in the cash ratio over the past few quarters implies a strengthening liquidity position for PulteGroup Inc, although periodic fluctuations suggest ongoing variability in the company's ability to cover its short-term obligations with its cash reserves.