Zebra Technologies Corporation (ZBRA)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 137,000 | 105,000 | 332,000 | 168,000 | 30,000 |
| Short-term investments | US$ in thousands | 113,000 | 113,000 | 101,000 | 77,000 | 45,000 |
| Total current liabilities | US$ in thousands | 1,598,000 | 2,332,000 | 1,800,000 | 1,851,000 | 1,404,000 |
| Cash ratio | 0.16 | 0.09 | 0.24 | 0.13 | 0.05 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($137,000K
+ $113,000K)
÷ $1,598,000K
= 0.16
The cash ratio of Zebra Technologies Corp. has shown variability over the past five years. In 2023, the cash ratio was 0.18, indicating that the company had $0.18 of cash and cash equivalents for every $1 of current liabilities. This was an improvement from the previous year's ratio of 0.10 and was also higher than the ratios in 2020 and 2019.
The increase in the cash ratio from 2022 to 2023 suggests that Zebra Technologies Corp. may have strengthened its liquidity position by increasing its cash reserves relative to its short-term obligations. This could be a positive sign of the company's ability to meet its short-term financial commitments.
Looking back further, the cash ratio was highest in 2021 at 0.24, which indicates that the company had a relatively higher level of cash available compared to its current liabilities. In contrast, the cash ratio was lowest in 2019 at 0.05, implying that Zebra Technologies Corp. had a lower cash cushion relative to its short-term liabilities that year.
Overall, the trend in Zebra Technologies Corp.'s cash ratio shows some fluctuations over the years, but the recent increase in 2023 compared to 2022 indicates a potential improvement in the company's liquidity position. It is important for investors and stakeholders to continue monitoring the company's cash ratio to assess its ability to manage short-term obligations effectively.
Peer comparison
Dec 31, 2023