Synaptics Incorporated (SYNA)

Cash ratio

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Cash and cash equivalents	US$ in thousands	876,900	924,700	824,000	836,300	763,400
Short-term investments	US$ in thousands	0	9,600	52,000	0	—
Total current liabilities	US$ in thousands	277,200	260,100	463,400	786,700	244,100
Cash ratio		3.16	3.59	1.89	1.06	3.13

June 30, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($876,900K + $0K) ÷ $277,200K
= 3.16

The cash ratio of Synaptics Incorporated has displayed fluctuating trends over the past five years, ranging from a low of 1.06 in June 2021 to a high of 3.59 in June 2023. The cash ratio measures the company's ability to cover its short-term obligations with its readily available cash and cash equivalents. A higher cash ratio indicates a stronger liquidity position and the ability to meet short-term liabilities more comfortably.

In June 2024, the cash ratio decreased to 3.16 from the previous year, which may suggest a slight decline in the company's liquidity position compared to June 2023. However, the cash ratio remains relatively high, indicating that Synaptics Incorporated continues to maintain a healthy level of cash reserves relative to its short-term obligations.

Overall, while the cash ratio has experienced fluctuations over the years, Synaptics Incorporated has generally demonstrated a strong ability to meet its short-term commitments with its cash holdings. Investors and analysts may consider monitoring the trend of the cash ratio to assess the company's liquidity management and financial health.