SpartanNash Co (SPTN)
Cash ratio
| Dec 31, 2023 | Oct 7, 2023 | Jul 15, 2023 | Apr 22, 2023 | Dec 31, 2022 | Oct 8, 2022 | Apr 23, 2022 | Dec 31, 2021 | Oct 9, 2021 | Jul 17, 2021 | Apr 24, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jul 11, 2020 | Apr 18, 2020 | Dec 31, 2019 | Oct 5, 2019 | Jul 13, 2019 | Apr 20, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 17,964 | 17,554 | 16,910 | 16,965 | 29,086 | 18,964 | 16,330 | 10,666 | 24,645 | 24,136 | 23,292 | 19,903 | 26,903 | 34,645 | 21,255 | 24,172 | 23,436 | 19,949 | 21,360 | 18,585 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 659,896 | 682,366 | 670,532 | 634,224 | 704,970 | 702,622 | 661,625 | 655,838 | 702,045 | 648,547 | 629,008 | 689,554 | 694,582 | 677,372 | 679,382 | 565,134 | 610,969 | 567,750 | 555,105 | 476,451 |
| Cash ratio | 0.03 | 0.03 | 0.03 | 0.03 | 0.04 | 0.03 | 0.02 | 0.02 | 0.04 | 0.04 | 0.04 | 0.03 | 0.04 | 0.05 | 0.03 | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($17,964K
+ $—K)
÷ $659,896K
= 0.03
The cash ratio of SpartanNash Co has been relatively stable around 0.03 to 0.05 over the past 5 years. This ratio indicates the company's ability to pay off its current liabilities with its cash and cash equivalents alone. A cash ratio of 0.03 to 0.05 suggests that SpartanNash Co holds a modest amount of cash compared to its current liabilities.
While a higher cash ratio is generally preferable as it indicates a stronger ability to cover short-term obligations, the consistent range of 0.03 to 0.05 indicates that SpartanNash Co maintains a stable liquidity position without an excessive cash balance. It's essential for the company to balance its cash holdings to ensure it can meet its short-term obligations while also investing in growth opportunities and maximizing shareholder value.
Peer comparison
Dec 31, 2023