The TJX Companies Inc (TJX)

Quick ratio

Jan 31, 2025 Feb 3, 2024 Jan 31, 2024 Jan 31, 2023 Jan 28, 2023
Cash US$ in thousands 5,335,000 5,600,000 5,600,000 5,477,000 5,477,000
Short-term investments US$ in thousands
Receivables US$ in thousands 588,000 682,000
Total current liabilities US$ in thousands 11,008,000 10,451,000 10,451,000 10,305,000 10,305,000
Quick ratio 0.48 0.59 0.54 0.53 0.60

January 31, 2025 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($5,335,000K + $—K + $—K) ÷ $11,008,000K
= 0.48

The quick ratio, also known as the acid-test ratio, is a measure of a company's ability to meet its short-term obligations with its most liquid assets. A quick ratio below 1 suggests that a company may have difficulty meeting its short-term liabilities, while a ratio above 1 indicates a strong ability to cover those obligations.

Based on the data provided for The TJX Companies Inc, the quick ratio has fluctuated over the past five periods. The ratios range from 0.48 to 0.60, indicating a varying ability to cover short-term liabilities with liquid assets. The lowest quick ratio of 0.48 on January 31, 2025, suggests a potential challenge for the company in meeting its short-term obligations, whereas the highest ratio of 0.60 on January 28, 2023, indicates a relatively stronger position in terms of liquidity.

Overall, the trend in The TJX Companies Inc's quick ratio shows some variability, which may require further investigation into the company's liquidity management practices and potential implications for its financial health and stability.


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The TJX Companies Inc Quick Ratio