TTM Technologies Inc (TTMI)

Cash ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash and cash equivalents	US$ in thousands	450,208	402,749	537,678	451,565	379,818
Short-term investments	US$ in thousands	—	—	—	—	20,336
Total current liabilities	US$ in thousands	703,984	761,325	558,148	518,046	946,666
Cash ratio		0.64	0.53	0.96	0.87	0.42

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($450,208K + $—K) ÷ $703,984K
= 0.64

The cash ratio of TTM Technologies Inc has shown fluctuations over the past five years. In 2021, the company's cash ratio was high at 0.96, indicating that it had a sufficient amount of cash to cover its short-term liabilities. This was a positive sign of liquidity for the company.

However, in 2019, the cash ratio was relatively low at 0.42, suggesting that TTM Technologies Inc had a lower amount of cash on hand compared to its short-term obligations. This could indicate potential liquidity challenges for the company during that period.

Overall, it is important for TTM Technologies Inc to maintain a healthy cash ratio to ensure its ability to meet short-term obligations and cover unexpected expenses. The company should continue to monitor its liquidity position and aim to strike a balance between holding an adequate amount of cash and investing in growth opportunities.