Palantir Technologies Inc. Class A Common Stock (PLTR)

Quick ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Cash	US$ in thousands	2,098,520	831,047	2,598,540	2,290,670	2,011,320
Short-term investments	US$ in thousands	3,131,460	2,843,130	35,135	234,153	0
Receivables	US$ in thousands	—	—	—	—	—
Total current liabilities	US$ in thousands	996,018	746,018	587,941	660,061	603,823
Quick ratio		5.25	4.93	4.48	3.83	3.33

December 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($2,098,520K + $3,131,460K + $—K) ÷ $996,018K
= 5.25

The quick ratio of Palantir Technologies Inc. Class A Common Stock has shown a consistent upward trend over the past few years. As of December 31, 2020, the quick ratio was at a healthy 3.33, indicating that the company had $3.33 in liquid assets available to cover each dollar of its current liabilities.

This ratio improved to 3.83 by December 31, 2021, and continued to strengthen over the subsequent years, reaching 4.48 by December 31, 2022, 4.93 by December 31, 2023, and further increasing to 5.25 by December 31, 2024.

The upward trend in the quick ratio signifies that Palantir Technologies Inc. has been effectively managing its liquidity position, with a higher level of liquid assets available to meet its short-term obligations. This strong liquidity position may indicate the company's ability to weather unforeseen financial challenges and take advantage of potential opportunities for growth.