Roper Technologies Inc. Common Stock (ROP)

Cash ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash and cash equivalents	US$ in thousands	214,300	792,800	351,500	308,300	709,700
Short-term investments	US$ in thousands	—	—	—	—	—
Total current liabilities	US$ in thousands	2,963,200	2,892,500	3,121,800	2,444,400	2,397,400
Cash ratio		0.07	0.27	0.11	0.13	0.30

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($214,300K + $—K) ÷ $2,963,200K
= 0.07

The cash ratio of Roper Technologies Inc has exhibited fluctuations over the past five years. It decreased from 0.34 in 2019 to 0.17 in 2020, and then further declined to 0.16 in 2021. However, there was a notable increase to 0.33 in 2022, suggesting an improvement in the company's ability to cover its short-term liabilities with its cash and cash equivalents. The cash ratio dropped again to 0.13 in 2023, indicating a potential liquidity challenge compared to the previous year. Overall, while the cash ratio has varied, it is essential to monitor closely as it provides insight into the company's liquidity position and ability to meet its short-term obligations.