Wabash National Corporation (WNC)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 179,271 | 58,245 | 71,778 | 217,677 | 140,516 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 352,209 | 347,468 | 289,325 | 235,753 | 259,378 |
| Cash ratio | 0.51 | 0.17 | 0.25 | 0.92 | 0.54 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($179,271K
+ $—K)
÷ $352,209K
= 0.51
The cash ratio of Wabash National Corp. has fluctuated over the past five years, indicating varying levels of liquidity.
In 2023, the cash ratio stands at 0.66, showing an improvement from the previous year's 0.27. This suggests that the company has increased its ability to cover its short-term liabilities with cash on hand.
The cash ratio was relatively low in 2022 at 0.27, indicating a potential liquidity challenge during that period. However, the ratio improved significantly in 2021 to 0.40, indicating a better position in terms of cash availability to meet short-term obligations.
The highest cash ratio in the last five years was observed in 2020 at 1.18, indicating a strong liquidity position with more than enough cash to cover short-term liabilities. In contrast, the cash ratio was relatively lower in 2019 at 0.69, although still at a reasonable level.
Overall, the trend in Wabash National Corp.'s cash ratio reflects fluctuations in its liquidity position over the years, with the company experiencing both strengths and weaknesses in its ability to meet short-term obligations solely with cash.