Tyson Foods Inc (TSN)
Cash ratio
| Sep 30, 2024 | Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 1,717,000 | 2,569,000 | 2,182,000 | 1,484,000 | 573,000 | 699,000 | 543,000 | 654,000 | 1,031,000 | 1,056,000 | 1,151,000 | 2,956,000 | 2,507,000 | 1,613,000 | 877,000 | 2,406,000 | 1,420,000 | 1,365,000 | 437,000 | 497,000 |
| Short-term investments | US$ in thousands | — | 13,000 | 16,000 | 15,000 | 15,000 | 7,000 | 7,000 | 2,000 | 1,000 | — | — | — | -72,000 | — | — | — | — | 2,000 | 2,000 | 1,000 |
| Total current liabilities | US$ in thousands | 4,787,000 | 5,810,000 | 5,633,000 | 6,172,000 | 6,499,000 | 4,948,000 | 5,346,000 | 5,114,000 | 5,313,000 | 4,682,000 | 4,657,000 | 6,034,000 | 6,325,000 | 6,184,000 | 4,612,000 | 4,849,000 | 4,234,000 | 4,273,000 | 4,406,000 | 5,536,000 |
| Cash ratio | 0.36 | 0.44 | 0.39 | 0.24 | 0.09 | 0.14 | 0.10 | 0.13 | 0.19 | 0.23 | 0.25 | 0.49 | 0.38 | 0.26 | 0.19 | 0.50 | 0.34 | 0.32 | 0.10 | 0.09 |
September 30, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,717,000K
+ $—K)
÷ $4,787,000K
= 0.36
The cash ratio of Tyson Foods Inc has fluctuated over the past few years, indicating the company's ability to cover its short-term liabilities with cash and cash equivalents. The cash ratio was relatively stable around 0.3 to 0.4 from 2020 to 2023, suggesting a healthy liquidity position during that period. However, there was a significant improvement in the cash ratio in the latter part of 2023 and throughout 2024, reaching a peak of 0.49 in December 2024.
This upward trend in the cash ratio indicates that Tyson Foods has been able to increase its cash holdings relative to its short-term liabilities, which is generally a positive sign of financial health and liquidity management. It suggests that the company has a stronger ability to meet its immediate obligations using cash on hand, potentially reducing the risk of financial distress.
Overall, the increasing cash ratio of Tyson Foods Inc from the second half of 2023 to 2024 reflects a strengthening liquidity position and enhanced ability to cover short-term liabilities with available cash resources.
Peer comparison
Sep 30, 2024