Ralph Lauren Corp Class A (RL)
Cash ratio
| Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 1,662,200 | 1,803,600 | 1,381,800 | 1,607,200 | 1,529,300 | 1,566,100 | 1,107,100 | 1,456,800 | 1,863,800 | 2,276,800 | 2,387,900 | 2,596,400 | 2,579,000 | 2,621,500 | 2,012,000 | 2,451,300 | 1,620,400 | 1,079,900 | 548,100 | 648,400 |
| Short-term investments | US$ in thousands | 121,000 | 113,800 | 85,100 | 73,100 | 36,400 | 131,400 | 309,600 | 320,100 | 734,600 | 710,200 | 673,100 | 368,000 | 197,500 | 165,700 | 434,100 | 259,300 | 495,900 | 828,500 | 1,041,400 | 1,280,700 |
| Total current liabilities | US$ in thousands | 1,467,200 | 1,678,200 | 1,610,400 | 1,593,700 | 1,493,500 | 1,749,600 | 1,709,600 | 1,745,400 | 2,255,700 | 2,429,600 | 2,260,600 | 2,113,300 | 1,584,800 | 1,676,800 | 1,553,700 | 1,486,900 | 2,092,000 | 1,775,400 | 1,736,000 | 1,591,000 |
| Cash ratio | 1.22 | 1.14 | 0.91 | 1.05 | 1.05 | 0.97 | 0.83 | 1.02 | 1.15 | 1.23 | 1.35 | 1.40 | 1.75 | 1.66 | 1.57 | 1.82 | 1.01 | 1.07 | 0.92 | 1.21 |
March 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,662,200K
+ $121,000K)
÷ $1,467,200K
= 1.22
The cash ratio of Ralph Lauren Corp Class A has fluctuated over the past few quarters, ranging from a low of 0.83 to a high of 1.82. The cash ratio indicates the company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio is generally preferable as it suggests the company has a stronger ability to meet its immediate financial obligations.
Looking at the trend, the cash ratio has shown some volatility over the period, with fluctuations both upwards and downwards. In recent quarters, the cash ratio has generally been above 1, indicating that Ralph Lauren Corp Class A has had sufficient cash on hand to cover its current liabilities.
However, it's important to note that a very high cash ratio may also indicate that the company is holding excess cash that could potentially be put to better use, such as investing in growth opportunities or returning value to shareholders. On the other hand, a low cash ratio could suggest liquidity constraints and potential difficulties in meeting short-term obligations.
Overall, while the cash ratio of Ralph Lauren Corp Class A has shown variability, it has generally remained at levels indicating a healthy liquidity position, which is essential for financial stability and flexibility in managing operations.
Peer comparison
Mar 31, 2024