Tyson Foods Inc (TSN)
Quick 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 | 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 |
| Receivables | US$ in thousands | 2,406,000 | 2,389,000 | 2,358,000 | 2,263,000 | 2,476,000 | 2,451,000 | — | 2,295,000 | 2,577,000 | — | — | — | 2,400,000 | — | — | — | — | — | — | — |
| 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 |
| Quick ratio | 0.86 | 0.86 | 0.81 | 0.61 | 0.47 | 0.64 | 0.10 | 0.58 | 0.68 | 0.23 | 0.25 | 0.49 | 0.76 | 0.26 | 0.19 | 0.50 | 0.34 | 0.32 | 0.10 | 0.09 |
September 30, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,717,000K
+ $—K
+ $2,406,000K)
÷ $4,787,000K
= 0.86
The quick ratio of Tyson Foods Inc has varied significantly over the past few quarters. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets. A quick ratio of less than 1 indicates that the company may have difficulty meeting its short-term obligations.
From December 2019 to March 2020, the quick ratio was relatively low at around 0.1 to 0.3, indicating potential liquidity challenges. However, there was a notable improvement in the quick ratio from June 2020 to September 2020, reaching 0.34 to 0.5, showing a better ability to cover short-term liabilities.
The quick ratio remained relatively stable and above 0.5 from December 2020 to March 2023, reflecting improved liquidity. However, there was a significant dip in the quick ratio in June 2023 to 0.64, followed by a sharp decline to 0.10 in March 2024, which may raise concerns about the company's ability to meet its short-term obligations.
While there was a slight improvement in the quick ratio in the most recent quarter (September 2024) to 0.86, Tyson Foods Inc should continue to monitor its liquidity position to ensure it can easily cover its short-term liabilities. Overall, fluctuations in the quick ratio suggest varying levels of liquidity and financial stability for the company.
Peer comparison
Sep 30, 2024