Pure Storage Inc (PSTG)
Quick ratio
| Feb 4, 2024 | Nov 5, 2023 | Aug 6, 2023 | Feb 5, 2023 | Nov 6, 2022 | Aug 7, 2022 | May 8, 2022 | Feb 6, 2022 | Oct 31, 2021 | Aug 1, 2021 | May 2, 2021 | Jan 31, 2021 | Nov 1, 2020 | Aug 2, 2020 | May 3, 2020 | Feb 2, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | Jan 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 702,536 | 529,191 | 408,900 | 580,854 | 795,931 | 652,567 | 455,237 | 466,199 | 404,692 | 340,252 | 300,808 | 337,147 | 263,702 | 355,601 | 347,580 | 362,635 | 304,346 | 268,938 | 287,192 | 447,990 |
| Short-term investments | US$ in thousands | 828,557 | 821,868 | 819,777 | 1,001,350 | 669,173 | 709,889 | 836,725 | 947,073 | 958,180 | 944,285 | 933,376 | 916,388 | 937,718 | 937,514 | 926,560 | 936,518 | 936,969 | 913,521 | 878,958 | 749,482 |
| Receivables | US$ in thousands | 662,179 | 636,324 | 525,260 | 612,491 | — | — | — | 542,144 | 354,179 | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 1,365,680 | 1,237,900 | 1,203,810 | 1,749,870 | 1,623,170 | 1,525,310 | 1,441,360 | 952,320 | 779,798 | 754,727 | 670,299 | 760,653 | 659,459 | 607,211 | 563,387 | 614,741 | 520,295 | 514,553 | 479,960 | 509,816 |
| Quick ratio | 1.61 | 1.61 | 1.46 | 1.25 | 0.90 | 0.89 | 0.90 | 2.05 | 2.20 | 1.70 | 1.84 | 1.65 | 1.82 | 2.13 | 2.26 | 2.11 | 2.39 | 2.30 | 2.43 | 2.35 |
February 4, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($702,536K
+ $828,557K
+ $662,179K)
÷ $1,365,680K
= 1.61
The quick ratio of Pure Storage Inc has shown varying trends over the past few years, with values ranging from 0.89 to 2.43. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets.
In recent periods, the quick ratio has generally been above 1, indicating that Pure Storage Inc has an adequate level of liquid assets to cover its current liabilities. The company had a significant improvement in quick ratio from August 2021 to November 2022, reaching a peak of 2.43 in April 2019, indicating a strong ability to meet short-term obligations.
However, there was a noticeable drop in the quick ratio in the subsequent periods, particularly between November 2022 and August 2023, suggesting a potential liquidity strain during this time frame. It is essential to monitor this trend to ensure the company maintains a healthy level of liquidity to meet its short-term obligations.
Overall, despite some fluctuations in the quick ratio, Pure Storage Inc has generally maintained a strong position in terms of liquidity in recent periods, which is crucial for its financial health and sustainability.
Peer comparison
Feb 4, 2024