Analysis of Liquidity Ratios
Quarterly Data
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Amazon.com Inc., liquidity ratios (quarterly data)
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
- Current Ratio
- The current ratio exhibited moderate fluctuations throughout the observed periods. Beginning at 1.08 on March 31, 2020, it reached a peak of 1.20 in June 30, 2021, indicating improved short-term liquidity during that time. Subsequently, there was a notable decline below 1.00 starting March 31, 2022, hitting a low of 0.92 by March 31, 2023, which suggests a tighter liquidity position. Following this period, the ratio gradually improved, moving above 1.00 again by December 31, 2023, and stabilizing around 1.02 to 1.10 in the later quarters through June 30, 2025. This pattern reflects cyclical variations in the company's ability to cover current liabilities with current assets, with a temporary weakening followed by recovery.
- Quick Ratio
- The quick ratio mirrored a similar trend to the current ratio but with generally lower values, reflecting the more conservative liquidity measure excluding inventories. From a starting point of 0.62 in March 31, 2020, the ratio increased to a high of 0.76 in June 30, 2021. Thereafter, it experienced a significant decline to around 0.42-0.45 range by late 2022 and early 2023, indicating a reduced immediate liquidity buffer. A gradual recovery follows, with the quick ratio rising to about 0.54-0.56 in 2024 and remaining slightly below these levels by mid-2025. Overall, the quick ratio points to a temporary reduction in quick asset coverage of current liabilities with a subsequent partial rebound.
- Cash Ratio
- This measure displayed an identical numerical trend to the quick ratio across all periods, indicating that the company's cash and cash equivalents formed the major component of its immediate liquid assets. Starting at 0.62 in early 2020, peaking at 0.76 mid-2021, then declining to around 0.42-0.45 in late 2022, and climbing back to 0.50-0.56 levels in 2024 and 2025. The parallel movement with the quick ratio underscores a consistent liquidity structure where cash strongly influences the short-term liquidity position.
- Overall Analysis
- The liquidity ratios reveal a generally stable but somewhat volatile short-term liquidity position over the five-year span. Initial improvement in liquidity ratios through mid-2021 suggests effective management of current assets and liabilities during that period. The deterioration post-June 2021 into early 2023 signals potential stresses or strategic choices impacting liquidity, such as increased liabilities or reduced liquid assets. The gradual recovery thereafter indicates measures taken to restore liquidity resilience. The identical trend of quick and cash ratios highlights the pivotal role of cash holdings in liquidity management. The return of the current ratio to around or above 1.0 by late 2023, and stabilization of quick and cash ratios near 0.5, suggest a balanced approach to short-term financial obligations and asset management in recent periods.
Current Ratio
Amazon.com Inc., current ratio calculation (quarterly data)
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | 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 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||||||
| Current assets | 191,420) | 184,645) | 190,867) | 175,792) | 173,307) | 163,989) | 172,351) | 142,995) | 140,482) | 136,221) | 146,791) | 131,463) | 133,667) | 133,876) | 161,580) | 138,531) | 140,848) | 121,408) | 132,733) | 112,969) | 110,908) | 85,985) | |||||||
| Current liabilities | 186,921) | 176,171) | 179,431) | 161,477) | 158,172) | 152,965) | 164,917) | 145,214) | 148,238) | 147,570) | 155,393) | 140,363) | 140,291) | 139,508) | 142,266) | 123,994) | 117,792) | 115,404) | 126,385) | 101,912) | 93,896) | 79,711) | |||||||
| Liquidity Ratio | |||||||||||||||||||||||||||||
| Current ratio1 | 1.02 | 1.05 | 1.06 | 1.09 | 1.10 | 1.07 | 1.05 | 0.98 | 0.95 | 0.92 | 0.94 | 0.94 | 0.95 | 0.96 | 1.14 | 1.12 | 1.20 | 1.05 | 1.05 | 1.11 | 1.18 | 1.08 | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| Current Ratio, Competitors2 | |||||||||||||||||||||||||||||
| Home Depot Inc. | 1.15 | 1.34 | 1.35 | 1.30 | 1.31 | 1.27 | 1.41 | 1.39 | 1.18 | 1.11 | 1.01 | 1.13 | 1.06 | 1.10 | 1.23 | 1.36 | 1.30 | 1.17 | 1.08 | 1.08 | 1.10 | 1.04 | |||||||
| Lowe’s Cos. Inc. | 1.22 | 1.17 | 1.23 | 1.21 | 1.26 | 1.25 | 1.10 | 1.20 | 1.11 | 1.17 | 1.02 | 1.19 | 1.16 | 1.17 | 1.19 | 1.38 | 1.30 | 1.20 | 1.01 | 1.04 | 1.06 | 1.09 | |||||||
| TJX Cos. Inc. | 1.21 | 1.23 | 1.21 | 1.19 | 1.20 | 1.20 | 1.21 | 1.16 | 1.17 | 1.25 | 1.27 | 1.29 | 1.33 | 1.52 | 1.46 | 1.41 | 1.51 | 2.20 | 1.24 | 1.22 | 1.25 | 1.23 | |||||||
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q2 2025 Calculation
Current ratio = Current assets ÷ Current liabilities
= 191,420 ÷ 186,921 = 1.02
2 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals several notable trends in the company's liquidity position over the observed periods.
- Current Assets
- The current assets demonstrate an overall increasing trend from March 31, 2020, through December 31, 2025. Starting at approximately 85,985 million USD in early 2020, the figure rises steadily with minor fluctuations, reaching a peak of about 191,420 million USD by mid-2025. This growth indicates an expansion in the company's short-term assets available for meeting obligations or operational needs.
- Current Liabilities
- Current liabilities also show a rising pattern during the same timeframe, though with some periods of more accelerated increases. Beginning near 79,711 million USD in March 2020, the liabilities climb to around 186,921 million USD by June 2025. The increase in current liabilities parallels the increase in current assets but at a generally slightly lower pace during some quarters, with occasional sharper rises.
- Current Ratio
- The current ratio, which measures the company's ability to cover short-term obligations with short-term assets, fluctuates moderately around the benchmark of 1.0. It starts at 1.08 in early 2020, reaching its peak around 1.20 in the middle of 2021, indicating a relatively strong liquidity position at that point.
- From late 2021 through early 2023, the current ratio dips below 1.0, hitting lows near 0.92, suggesting tighter short-term liquidity and a potential increase in financial pressure in the near term. However, from 2023 onwards, the ratio gradually recovers and stabilizes slightly above 1.0, reaching approximately 1.02 by mid-2025. This recovery reflects improved management of current assets relative to liabilities, restoring a more comfortable liquidity buffer.
In summary, while both current assets and current liabilities have increased significantly over the periods, the current ratio's fluctuations indicate periods of varying liquidity conditions. Particularly notable is the dip below the critical threshold of 1.0 in late 2021 through early 2023, followed by a recovery phase. This pattern suggests that the company experienced some short-term liquidity tightening but managed to improve its ability to meet current obligations in recent quarters.
Quick Ratio
Amazon.com Inc., quick ratio calculation (quarterly data)
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | 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 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||||||
| Cash and cash equivalents | 57,741) | 66,207) | 78,779) | 75,091) | 71,178) | 72,852) | 73,387) | 49,605) | 49,529) | 49,343) | 53,888) | 34,947) | 37,478) | 36,393) | 36,220) | 29,944) | 40,380) | 33,834) | 42,122) | 29,930) | 37,466) | 27,201) | |||||||
| Marketable securities | 35,439) | 28,358) | 22,423) | 12,960) | 17,914) | 12,222) | 13,393) | 14,564) | 14,441) | 15,062) | 16,138) | 23,715) | 23,232) | 29,992) | 59,829) | 49,044) | 49,514) | 39,436) | 42,274) | 38,472) | 33,925) | 22,091) | |||||||
| Total quick assets | 93,180) | 94,565) | 101,202) | 88,051) | 89,092) | 85,074) | 86,780) | 64,169) | 63,970) | 64,405) | 70,026) | 58,662) | 60,710) | 66,385) | 96,049) | 78,988) | 89,894) | 73,270) | 84,396) | 68,402) | 71,391) | 49,292) | |||||||
| Current liabilities | 186,921) | 176,171) | 179,431) | 161,477) | 158,172) | 152,965) | 164,917) | 145,214) | 148,238) | 147,570) | 155,393) | 140,363) | 140,291) | 139,508) | 142,266) | 123,994) | 117,792) | 115,404) | 126,385) | 101,912) | 93,896) | 79,711) | |||||||
| Liquidity Ratio | |||||||||||||||||||||||||||||
| Quick ratio1 | 0.50 | 0.54 | 0.56 | 0.55 | 0.56 | 0.56 | 0.53 | 0.44 | 0.43 | 0.44 | 0.45 | 0.42 | 0.43 | 0.48 | 0.68 | 0.64 | 0.76 | 0.63 | 0.67 | 0.67 | 0.76 | 0.62 | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| Quick Ratio, Competitors2 | |||||||||||||||||||||||||||||
| Home Depot Inc. | 0.25 | 0.34 | 0.32 | 0.25 | 0.27 | 0.22 | 0.26 | 0.26 | 0.18 | 0.22 | 0.20 | 0.32 | 0.30 | 0.37 | 0.47 | 0.68 | 0.69 | 0.48 | 0.23 | 0.23 | 0.26 | 0.21 | |||||||
| Lowe’s Cos. Inc. | 0.26 | 0.18 | 0.08 | 0.09 | 0.22 | 0.18 | 0.09 | 0.18 | 0.09 | 0.17 | 0.07 | 0.32 | 0.29 | 0.31 | 0.28 | 0.52 | 0.60 | 0.34 | 0.06 | 0.06 | 0.13 | 0.18 | |||||||
| TJX Cos. Inc. | 0.54 | 0.55 | 0.59 | 0.42 | 0.49 | 0.53 | 0.59 | 0.35 | 0.40 | 0.49 | 0.64 | 0.65 | 0.77 | 0.95 | 1.01 | 0.93 | 0.92 | 0.96 | 0.50 | 0.33 | 0.39 | 0.40 | |||||||
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q2 2025 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 93,180 ÷ 186,921 = 0.50
2 Click competitor name to see calculations.
The quick assets and current liabilities data over the analyzed quarters reveal several key trends in the company's short-term liquidity position, as represented by the quick ratio.
- Total quick assets
- Quick assets display a generally fluctuating trend across the reported quarters. Initial quarters in 2020 show an increase, peaking around mid-2020. Following this, the amounts oscillate with periods of decline notably after early 2022, reaching lower values in mid to late 2022, before recovering somewhat towards the end of 2023 and sustaining higher levels into 2024.
- Current liabilities
- The current liabilities consistently increase throughout the timeline. Starting from approximately 79,711 million US dollars in early 2020, liabilities rise steadily each quarter, reaching over 186,000 million US dollars in mid-2025. This upward trend suggests an expansion in short-term obligations over the period.
- Quick ratio
- The quick ratio trends correspond closely with the movements in quick assets and current liabilities. Initially, the ratio improved from 0.62 to 0.76 in mid-2020, indicating enhanced liquidity. However, from late 2021 through 2023, the quick ratio declines markedly, falling to as low as 0.42 in late 2022, which points to decreased immediate liquidity coverage. In 2024, the quick ratio shows signs of partial recovery, stabilizing around 0.5 to 0.56 through 2025, though it remains below the initial levels observed in 2020.
Overall, the data portrays a company experiencing increasing current liabilities throughout the period, with quick assets not rising proportionally and sometimes declining, leading to a weakening of the quick ratio especially from 2021 to 2023. The partial recovery in the quick ratio post-2023 suggests efforts to improve short-term liquidity, though the ratio remains moderate, indicating a cautious liquidity position relative to current obligations.
Cash Ratio
Amazon.com Inc., cash ratio calculation (quarterly data)
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | 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 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||||||
| Cash and cash equivalents | 57,741) | 66,207) | 78,779) | 75,091) | 71,178) | 72,852) | 73,387) | 49,605) | 49,529) | 49,343) | 53,888) | 34,947) | 37,478) | 36,393) | 36,220) | 29,944) | 40,380) | 33,834) | 42,122) | 29,930) | 37,466) | 27,201) | |||||||
| Marketable securities | 35,439) | 28,358) | 22,423) | 12,960) | 17,914) | 12,222) | 13,393) | 14,564) | 14,441) | 15,062) | 16,138) | 23,715) | 23,232) | 29,992) | 59,829) | 49,044) | 49,514) | 39,436) | 42,274) | 38,472) | 33,925) | 22,091) | |||||||
| Total cash assets | 93,180) | 94,565) | 101,202) | 88,051) | 89,092) | 85,074) | 86,780) | 64,169) | 63,970) | 64,405) | 70,026) | 58,662) | 60,710) | 66,385) | 96,049) | 78,988) | 89,894) | 73,270) | 84,396) | 68,402) | 71,391) | 49,292) | |||||||
| Current liabilities | 186,921) | 176,171) | 179,431) | 161,477) | 158,172) | 152,965) | 164,917) | 145,214) | 148,238) | 147,570) | 155,393) | 140,363) | 140,291) | 139,508) | 142,266) | 123,994) | 117,792) | 115,404) | 126,385) | 101,912) | 93,896) | 79,711) | |||||||
| Liquidity Ratio | |||||||||||||||||||||||||||||
| Cash ratio1 | 0.50 | 0.54 | 0.56 | 0.55 | 0.56 | 0.56 | 0.53 | 0.44 | 0.43 | 0.44 | 0.45 | 0.42 | 0.43 | 0.48 | 0.68 | 0.64 | 0.76 | 0.63 | 0.67 | 0.67 | 0.76 | 0.62 | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| Cash Ratio, Competitors2 | |||||||||||||||||||||||||||||
| Home Depot Inc. | 0.06 | 0.18 | 0.17 | 0.09 | 0.12 | 0.05 | 0.12 | 0.10 | 0.05 | 0.09 | 0.08 | 0.19 | 0.17 | 0.24 | 0.34 | 0.58 | 0.58 | 0.37 | 0.12 | 0.11 | 0.14 | 0.10 | |||||||
| Lowe’s Cos. Inc. | 0.26 | 0.18 | 0.08 | 0.09 | 0.22 | 0.18 | 0.09 | 0.18 | 0.09 | 0.17 | 0.07 | 0.32 | 0.29 | 0.31 | 0.28 | 0.52 | 0.60 | 0.34 | 0.06 | 0.06 | 0.13 | 0.18 | |||||||
| TJX Cos. Inc. | 0.49 | 0.50 | 0.54 | 0.37 | 0.44 | 0.48 | 0.53 | 0.30 | 0.35 | 0.43 | 0.59 | 0.60 | 0.71 | 0.89 | 0.97 | 0.90 | 0.87 | 0.92 | 0.45 | 0.27 | 0.33 | 0.34 | |||||||
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q2 2025 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 93,180 ÷ 186,921 = 0.50
2 Click competitor name to see calculations.
The financial data reveal several notable trends concerning liquidity and short-term financial obligations over the analyzed periods.
- Total Cash Assets
- The total cash assets demonstrate a pattern of fluctuation with periodic increases followed by declines. From March 2020 to December 2020, cash assets rose substantially from approximately US$49,292 million to US$84,396 million, indicating an accumulation of liquidity possibly due to operational cash flows or financing activities. However, following this peak, the figures exhibit a decline into mid-2022, reaching a low point near US$58,662 million. A rebound occurs starting late 2022 through early 2024, with cash assets climbing again to near US$89,092 million in June 2024, before stabilizing slightly toward the end of the data range. This cyclical pattern suggests adaptive cash management in response to changing operational needs or market conditions.
- Current Liabilities
- Current liabilities show a consistent increasing trend throughout the periods. Beginning at approximately US$79,711 million in March 2020, the liabilities rose steadily, surpassing US$179,000 million by March 2025. Such sustained growth in current liabilities may reflect increasing short-term financial obligations such as accounts payable, accrued expenses, or short-term debt. The continual rise suggests that the company is either expanding its operations, managing higher payables, or utilizing short-term financing progressively.
- Cash Ratio
- The cash ratio, a strict measure of liquidity representing cash and cash equivalents divided by current liabilities, oscillates within a range below 1 throughout all quarters, indicating that cash assets alone do not fully cover current liabilities at any point. Initially, the ratio improved from 0.62 to 0.76 during mid-2020 but then declined to as low as 0.42 in the third quarter of 2022. Following this low, the ratio showed partial recovery, rising to about 0.56 by mid-2024 before dropping again to approximately 0.5 at the latest quarter. The fluctuating cash ratio highlights variability in liquidity management and the relative scale of cash resources to short-term obligations, with a general tendency not to maintain a high cash buffer against liabilities.
Overall, the data indicate a dynamic liquidity profile characterized by significant growth in current liabilities that outpaces growth in cash assets. The company appears to manage cash tactically, balancing the need for liquidity with operational or financing activities. The consistently low cash ratio underscores reliance on other liquid assets or short-term financing beyond cash to meet immediate obligations.