Walmart Inc (WMT)

Cash ratio

		Jan 31, 2024	Jan 31, 2023	Jan 31, 2022	Jan 31, 2021	Jan 31, 2020
Cash and cash equivalents	US$ in thousands	9,867,000	8,625,000	14,760,000	17,741,000	9,465,000
Short-term investments	US$ in thousands	8,449,000	11,169,000	12,888,000	14,422,000	5,438,000
Total current liabilities	US$ in thousands	92,415,000	92,198,000	87,379,000	92,645,000	77,790,000
Cash ratio		0.20	0.21	0.32	0.35	0.19

January 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($9,867,000K + $8,449,000K) ÷ $92,415,000K
= 0.20

The cash ratio of Walmart Inc has shown some fluctuations over the past five years. In January 2020, the cash ratio was 0.19, indicating that the company had $0.19 in cash and cash equivalents for every $1 of current liabilities. This ratio increased to 0.35 in January 2021, suggesting improved liquidity as the company had $0.35 in cash and cash equivalents for every $1 of current liabilities.

However, the cash ratio decreased to 0.32 in January 2022 and then further dropped to 0.21 in January 2023. This decline may indicate a potential decrease in the company's ability to cover its short-term liabilities with its available cash resources.

In the most recent period ending January 2024, the cash ratio stands at 0.20. This indicates that the company had $0.20 in cash and cash equivalents for every $1 of current liabilities. A declining cash ratio over the years may suggest a potential liquidity challenge that Walmart Inc may need to address in order to ensure its ability to meet short-term financial obligations.