Analysis of Liquidity Ratios
Quarterly Data
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
AppLovin Corp., 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).
- Current Ratio
- The current ratio displays significant fluctuations over the observed periods. Initially, it shows moderate stability around 2.4 to 2.9 between March 2021 and June 2022, with a notable peak at the end of 2021 reaching 5.05. Subsequently, the ratio maintains values mostly above 2.5 until mid-2023, where a sharp decline occurs, dropping to a low of 1.61 in September 2023. Following this low point, the ratio gradually recovers, reaching around 2.7 by mid-2025. These trends suggest periodic changes in short-term liquidity, with a particularly strong liquidity position at the end of 2021 and a weakened position during late 2023.
- Quick Ratio
- The quick ratio mirrors the trends of the current ratio closely, indicating consistent liquidity patterns when inventory is excluded. It remains relatively stable from early 2021 through mid-2022 with values between 2.26 and approximately 3.1. It reaches a pronounced peak of 4.82 at the end of 2021, followed by a downward trend culminating in a low of 1.47 in September 2023. Thereafter, it recovers gradually to around 2.54 by mid-2025. This pattern reflects changes in the company's ability to meet short-term obligations with its most liquid assets, signaling a temporary liquidity strain in late 2023 that improves subsequently.
- Cash Ratio
- The cash ratio shows more pronounced variability and overall lower values compared to the current and quick ratios. Starting near 1.5 to 2.0 in early 2021, it peaks sharply at 4.02 at the end of 2021, indicating an exceptional cash position at that time. Post-peak, the ratio steadily declines to a trough of 0.39 in June 2025, with intermittent minor recoveries around early to mid-2024. This decreasing cash ratio trend suggests a reduction in cash and cash equivalents relative to current liabilities, potentially reflecting higher operational expenditures, investment outflows, or other uses of cash over time. The substantial drop from over 4.0 to below 0.5 represents a substantial shift in the company's cash liquidity profile.
Current Ratio
AppLovin Corp., 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||
| Current assets | 2,992,689) | 2,367,334) | 2,312,190) | 1,875,420) | 1,660,270) | 1,607,888) | 1,616,163) | 1,300,792) | 1,696,268) | 2,048,357) | 1,939,083) | 1,824,249) | 1,817,297) | 2,298,101) | 3,235,064) | 1,626,365) | 1,716,845) | 1,184,821) | ||||||
| Current liabilities | 1,093,885) | 1,409,224) | 1,057,472) | 779,536) | 729,591) | 762,524) | 944,122) | 805,474) | 591,940) | 619,570) | 578,958) | 543,633) | 644,589) | 785,117) | 640,097) | 569,768) | 603,179) | 486,596) | ||||||
| Liquidity Ratio | ||||||||||||||||||||||||
| Current ratio1 | 2.74 | 1.68 | 2.19 | 2.41 | 2.28 | 2.11 | 1.71 | 1.61 | 2.87 | 3.31 | 3.35 | 3.36 | 2.82 | 2.93 | 5.05 | 2.85 | 2.85 | 2.43 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Current Ratio, Competitors2 | ||||||||||||||||||||||||
| Accenture PLC | 1.48 | 1.47 | 1.10 | 1.16 | 1.26 | 1.33 | 1.30 | 1.37 | 1.29 | 1.26 | 1.23 | 1.27 | 1.23 | 1.22 | 1.25 | 1.42 | 1.39 | 1.45 | ||||||
| Adobe Inc. | 0.99 | 1.18 | 1.07 | 1.11 | 1.16 | 1.05 | 1.34 | 1.25 | 1.16 | 1.12 | 1.11 | 1.14 | 1.07 | 1.04 | 1.25 | 1.39 | 1.31 | 1.27 | ||||||
| Cadence Design Systems Inc. | 2.82 | 3.07 | 2.93 | 2.45 | 1.43 | 1.32 | 1.24 | 1.44 | 1.37 | 1.44 | 1.27 | 1.33 | 1.59 | 1.81 | 1.77 | 1.70 | 1.57 | 1.70 | ||||||
| CrowdStrike Holdings Inc. | 1.90 | 1.80 | 1.76 | 1.74 | 1.82 | 1.78 | 1.73 | 1.76 | 1.80 | 1.83 | 1.83 | 1.90 | 1.98 | 2.07 | 2.65 | 1.91 | 2.18 | 2.25 | ||||||
| Datadog Inc. | 3.43 | 2.74 | 2.64 | 2.13 | 2.01 | 3.43 | 3.17 | 3.35 | 3.42 | 3.19 | 3.09 | 3.23 | 3.31 | 3.33 | 3.54 | 3.94 | 4.31 | 5.45 | ||||||
| International Business Machines Corp. | 0.91 | 1.01 | 1.04 | 1.06 | 1.12 | 1.13 | 0.96 | 0.91 | 1.06 | 1.16 | 0.92 | 0.95 | 0.88 | 0.92 | 0.88 | 0.84 | 0.84 | 0.93 | ||||||
| Intuit Inc. | 1.27 | 1.24 | 1.29 | 1.50 | 1.17 | 1.25 | 1.47 | 1.51 | 1.23 | 1.37 | 1.39 | 1.63 | 1.18 | 2.10 | 1.94 | 1.96 | 1.53 | 3.09 | ||||||
| Microsoft Corp. | 1.35 | 1.30 | 1.27 | 1.24 | 1.22 | 1.66 | 1.77 | 1.91 | 1.93 | 1.84 | 1.78 | 1.99 | 2.25 | 2.16 | 2.08 | 2.29 | 2.58 | 2.53 | ||||||
| Oracle Corp. | 0.81 | 0.72 | 0.72 | 0.85 | 0.79 | 0.87 | 0.91 | 0.82 | 0.65 | 0.60 | 1.62 | 1.52 | 1.65 | 2.04 | 2.30 | 2.16 | 2.17 | 2.66 | ||||||
| Palantir Technologies Inc. | 6.32 | 6.49 | 5.96 | 5.67 | 5.92 | 5.91 | 5.55 | 5.53 | 5.22 | 5.41 | 5.17 | 4.28 | 4.36 | 4.38 | 4.34 | 4.13 | 3.90 | 3.88 | ||||||
| Palo Alto Networks Inc. | 0.84 | 0.84 | 0.89 | 0.84 | 0.83 | 0.86 | 0.78 | 0.74 | 0.64 | 0.70 | 0.77 | 0.74 | 0.66 | 0.68 | 0.91 | 1.38 | 0.98 | 1.63 | ||||||
| Salesforce Inc. | 1.04 | 1.11 | 1.09 | 1.04 | 1.02 | 1.02 | 1.02 | 1.05 | 1.06 | 1.03 | 1.05 | 1.06 | 0.93 | 1.33 | 1.23 | 1.22 | 1.15 | 1.15 | ||||||
| ServiceNow Inc. | 1.09 | 1.12 | 1.10 | 1.13 | 1.12 | 1.05 | 1.06 | 1.08 | 1.14 | 1.17 | 1.11 | 1.24 | 1.12 | 1.12 | 1.05 | 1.13 | 1.08 | 1.23 | ||||||
| Synopsys Inc. | 7.02 | 2.68 | 2.44 | 2.02 | 1.86 | 1.29 | 1.15 | 1.20 | 1.15 | 1.11 | 1.09 | 1.14 | 1.25 | 1.19 | 1.16 | 1.18 | 1.19 | 1.10 | ||||||
| Workday Inc. | 2.04 | 2.00 | 1.97 | 2.13 | 2.00 | 1.95 | 1.75 | 1.87 | 1.61 | 1.56 | 1.03 | 1.10 | 1.04 | 0.93 | 1.12 | 1.09 | 1.45 | 1.25 | ||||||
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).
1 Q2 2025 Calculation
Current ratio = Current assets ÷ Current liabilities
= 2,992,689 ÷ 1,093,885 = 2.74
2 Click competitor name to see calculations.
The analysis of the current assets and current liabilities over the observed periods reveals notable fluctuations and trends in liquidity management. Current assets exhibit significant variability, with an initial strong increase reaching a peak at the end of 2021, followed by a noticeable decline during 2022 and early 2023. Subsequently, there is a gradual recovery with an upward trend toward the end of the dataset, culminating in the highest value recorded in the first half of 2025.
Current liabilities also demonstrate variability but exhibit a somewhat different pattern. There is a general increasing trend from early 2021 to mid-2025, with some fluctuations where liabilities slightly decrease or stabilize for short periods. The highest liabilities are observed around mid-2025, indicating increased obligations or short-term debt.
The current ratio, which measures short-term liquidity by comparing current assets to current liabilities, displays important shifts. Initially, the ratio hovers between approximately 2.4 and 2.9 during early to mid-2021. It then peaks substantially at the end of 2021, reaching above 5.0, reflecting a strong liquidity position. Following this peak, the liquidity ratio declines markedly throughout 2022 and into 2023, reaching the lowest points near 1.6 to 1.7, indicating a tightening liquidity position during this period.
After early 2023, the current ratio begins to improve, showing a consistent recovery trend toward healthier liquidity levels around 2.1 to 2.7 by mid-2025. Despite this improvement, the ratio exhibits more volatility in the later periods, suggesting some variability in the balance between assets and liabilities.
- Key observations
- - Current assets reached a significant high at the end of 2021, declined through 2022 and early 2023, then steadily increased to a new peak by mid-2025.
- - Current liabilities generally trended upwards with increased values in 2025, showing higher short-term obligations.
- - The current ratio’s peak at the end of 2021 indicates notably strong liquidity, which was followed by a period of constrained liquidity in 2022 and early 2023.
- - The subsequent recovery and volatility in the current ratio from 2023 onward reflect fluctuating liquidity management but a generally improving position as of mid-2025.
Overall, the financial data suggests periods of both liquidity strength and strain, with recent trends pointing to improved liquidity management despite higher current liabilities. This pattern signals an active balancing of short-term resources and obligations, warranting continuous monitoring for potential liquidity risks.
Quick Ratio
AppLovin Corp., 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||
| Cash and cash equivalents | 1,192,608) | 551,024) | 741,411) | 567,596) | 460,449) | 436,336) | 502,152) | 332,491) | 876,227) | 1,245,893) | 1,080,484) | 943,508) | 951,560) | 1,413,256) | 1,520,504) | 1,049,617) | 1,183,743) | 761,075) | ||||||
| Restricted cash equivalents | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | 1,050,000) | —) | —) | —) | ||||||
| Accounts receivable, net | 1,581,679) | 1,577,812) | 1,414,246) | 1,187,431) | 1,074,342) | 1,035,372) | 953,810) | 849,140) | 669,785) | 637,605) | 702,814) | 665,462) | 690,911) | 684,461) | 514,520) | 412,884) | 383,133) | 340,881) | ||||||
| Total quick assets | 2,774,287) | 2,128,836) | 2,155,657) | 1,755,027) | 1,534,791) | 1,471,708) | 1,455,962) | 1,181,631) | 1,546,012) | 1,883,498) | 1,783,298) | 1,608,970) | 1,642,471) | 2,097,717) | 3,085,024) | 1,462,501) | 1,566,876) | 1,101,956) | ||||||
| Current liabilities | 1,093,885) | 1,409,224) | 1,057,472) | 779,536) | 729,591) | 762,524) | 944,122) | 805,474) | 591,940) | 619,570) | 578,958) | 543,633) | 644,589) | 785,117) | 640,097) | 569,768) | 603,179) | 486,596) | ||||||
| Liquidity Ratio | ||||||||||||||||||||||||
| Quick ratio1 | 2.54 | 1.51 | 2.04 | 2.25 | 2.10 | 1.93 | 1.54 | 1.47 | 2.61 | 3.04 | 3.08 | 2.96 | 2.55 | 2.67 | 4.82 | 2.57 | 2.60 | 2.26 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Quick Ratio, Competitors2 | ||||||||||||||||||||||||
| Accenture PLC | 1.33 | 1.33 | 0.98 | 1.03 | 1.13 | 1.18 | 1.18 | 1.24 | 1.15 | 1.12 | 1.12 | 1.14 | 1.10 | 1.10 | 1.14 | 1.31 | 1.27 | 1.34 | ||||||
| Adobe Inc. | 0.82 | 1.03 | 0.95 | 0.97 | 1.02 | 0.93 | 1.22 | 1.12 | 1.03 | 1.00 | 1.00 | 1.01 | 0.93 | 0.89 | 1.11 | 1.25 | 1.18 | 1.12 | ||||||
| Cadence Design Systems Inc. | 2.33 | 2.58 | 2.43 | 2.00 | 1.06 | 0.96 | 0.94 | 1.10 | 1.10 | 1.19 | 1.02 | 1.13 | 1.36 | 1.56 | 1.47 | 1.48 | 1.33 | 1.43 | ||||||
| CrowdStrike Holdings Inc. | 1.72 | 1.64 | 1.60 | 1.59 | 1.66 | 1.63 | 1.58 | 1.62 | 1.66 | 1.68 | 1.68 | 1.76 | 1.81 | 1.93 | 2.50 | 1.76 | 2.01 | 2.07 | ||||||
| Datadog Inc. | 3.34 | 2.66 | 2.57 | 2.07 | 1.95 | 3.32 | 3.08 | 3.26 | 3.31 | 3.09 | 3.01 | 3.14 | 3.21 | 3.23 | 3.45 | 3.84 | 4.19 | 5.31 | ||||||
| International Business Machines Corp. | 0.77 | 0.86 | 0.90 | 0.89 | 0.95 | 0.98 | 0.82 | 0.74 | 0.90 | 0.99 | 0.76 | 0.75 | 0.68 | 0.73 | 0.69 | 0.64 | 0.66 | 0.75 | ||||||
| Intuit Inc. | 0.68 | 0.54 | 0.71 | 1.00 | 0.55 | 0.66 | 1.25 | 1.29 | 1.02 | 1.10 | 1.17 | 1.29 | 0.78 | 1.71 | 1.60 | 1.72 | 1.20 | 2.74 | ||||||
| Microsoft Corp. | 1.10 | 1.06 | 1.06 | 1.05 | 1.02 | 1.45 | 1.54 | 1.66 | 1.66 | 1.59 | 1.57 | 1.77 | 2.05 | 1.96 | 1.90 | 2.10 | 2.36 | 2.30 | ||||||
| Oracle Corp. | 0.67 | 0.59 | 0.59 | 0.69 | 0.63 | 0.73 | 0.74 | 0.65 | 0.50 | 0.49 | 1.43 | 1.34 | 1.45 | 1.90 | 2.15 | 2.00 | 2.02 | 2.50 | ||||||
| Palantir Technologies Inc. | 6.19 | 6.36 | 5.83 | 5.55 | 5.77 | 5.80 | 5.41 | 5.39 | 5.08 | 5.25 | 4.92 | 4.08 | 4.09 | 4.15 | 4.11 | 3.90 | 3.79 | 3.73 | ||||||
| Palo Alto Networks Inc. | 0.78 | 0.77 | 0.82 | 0.78 | 0.78 | 0.81 | 0.72 | 0.66 | 0.58 | 0.65 | 0.73 | 0.70 | 0.62 | 0.64 | 0.86 | 1.23 | 0.88 | 1.48 | ||||||
| Salesforce Inc. | 0.86 | 0.95 | 0.96 | 0.86 | 0.86 | 0.86 | 0.90 | 0.89 | 0.91 | 0.88 | 0.93 | 0.89 | 0.79 | 1.19 | 1.11 | 1.05 | 0.98 | 1.00 | ||||||
| ServiceNow Inc. | 0.99 | 1.03 | 1.02 | 1.05 | 1.03 | 0.98 | 1.00 | 1.01 | 1.08 | 1.11 | 1.06 | 1.17 | 1.06 | 1.06 | 1.01 | 1.07 | 1.03 | 1.19 | ||||||
| Synopsys Inc. | 6.34 | 1.99 | 1.88 | 1.10 | 0.99 | 0.88 | 0.85 | 0.92 | 0.90 | 0.86 | 0.85 | 0.87 | 0.99 | 0.93 | 0.89 | 0.90 | 0.92 | 0.83 | ||||||
| Workday Inc. | 1.92 | 1.88 | 1.87 | 2.01 | 1.90 | 1.83 | 1.66 | 1.75 | 1.52 | 1.47 | 0.96 | 1.03 | 0.98 | 0.86 | 1.07 | 1.02 | 1.35 | 1.15 | ||||||
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).
1 Q2 2025 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 2,774,287 ÷ 1,093,885 = 2.54
2 Click competitor name to see calculations.
- Total Quick Assets
- The total quick assets exhibited considerable volatility throughout the observed periods. Initial values in early 2021 showed a moderate level, with a notable surge by the end of 2021, reaching a peak near 3,085,024 thousand USD. In 2022, the figure declined and then fluctuated around the 1.5 to 1.7 million USD range for most quarters. Starting in early 2023, total quick assets showed a downward trend, reaching the lowest point in September 2023 at approximately 1.18 million USD, before gradually recovering towards the end of 2024 and early 2025. The last reported figures indicate a significant increase, peaking again at around 2.77 million USD by mid-2025.
- Current Liabilities
- Current liabilities displayed an overall increasing trend during the entire timeframe. Beginning at approximately 486,596 thousand USD in early 2021, liabilities rose steadily, with some fluctuations. By the end of 2021, there was a visible increase to around 640,097 thousand USD. Fluctuations persisted in 2022 and 2023, with a sharp increase in both late 2023 and through 2024, culminating in a peak exceeding 1.4 million USD in mid-2025. This rise in liabilities suggests growing short-term obligations over time.
- Quick Ratio
- The quick ratio, reflecting liquidity, was generally above 2 in early 2021 and maintained a high level during 2021, reaching as much as 4.82 by year-end, indicating strong liquidity relative to current liabilities. However, the ratio declined noticeably starting in 2022, dipping to a low of 1.47 in September 2023, indicating reduced liquidity. A recovery phase followed with the ratio increasing steadily through 2024 into mid-2025, reaching 2.54. This pattern indicates periods of both strong and constrained liquidity, with the most substantial constraints occurring in late 2023 and early 2024, before improvement.
- Summary of Trends
- The data reveals substantial fluctuations in quick assets and current liabilities, with the latter showing a steady upward trajectory, underlying increased short-term obligations. The liquidity ratio correspondingly reflects these shifts, initially showing strong liquidity, followed by a significant dip, and a subsequent recovery. The company's financial position, as measured by these metrics, demonstrates periods of robust liquidity followed by tightening, with a recovery phase toward the end of the analyzed period.
Cash Ratio
AppLovin Corp., 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||
| Cash and cash equivalents | 1,192,608) | 551,024) | 741,411) | 567,596) | 460,449) | 436,336) | 502,152) | 332,491) | 876,227) | 1,245,893) | 1,080,484) | 943,508) | 951,560) | 1,413,256) | 1,520,504) | 1,049,617) | 1,183,743) | 761,075) | ||||||
| Restricted cash equivalents | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | 1,050,000) | —) | —) | —) | ||||||
| Total cash assets | 1,192,608) | 551,024) | 741,411) | 567,596) | 460,449) | 436,336) | 502,152) | 332,491) | 876,227) | 1,245,893) | 1,080,484) | 943,508) | 951,560) | 1,413,256) | 2,570,504) | 1,049,617) | 1,183,743) | 761,075) | ||||||
| Current liabilities | 1,093,885) | 1,409,224) | 1,057,472) | 779,536) | 729,591) | 762,524) | 944,122) | 805,474) | 591,940) | 619,570) | 578,958) | 543,633) | 644,589) | 785,117) | 640,097) | 569,768) | 603,179) | 486,596) | ||||||
| Liquidity Ratio | ||||||||||||||||||||||||
| Cash ratio1 | 1.09 | 0.39 | 0.70 | 0.73 | 0.63 | 0.57 | 0.53 | 0.41 | 1.48 | 2.01 | 1.87 | 1.74 | 1.48 | 1.80 | 4.02 | 1.84 | 1.96 | 1.56 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Cash Ratio, Competitors2 | ||||||||||||||||||||||||
| Accenture PLC | 0.50 | 0.48 | 0.26 | 0.30 | 0.32 | 0.41 | 0.50 | 0.50 | 0.38 | 0.36 | 0.45 | 0.41 | 0.35 | 0.37 | 0.52 | 0.67 | 0.65 | 0.68 | ||||||
| Adobe Inc. | 0.63 | 0.81 | 0.75 | 0.78 | 0.85 | 0.72 | 0.95 | 0.90 | 0.82 | 0.76 | 0.75 | 0.77 | 0.72 | 0.65 | 0.84 | 1.00 | 0.94 | 0.85 | ||||||
| Cadence Design Systems Inc. | 1.89 | 2.14 | 1.93 | 1.66 | 0.69 | 0.69 | 0.63 | 0.76 | 0.73 | 0.78 | 0.65 | 0.82 | 0.99 | 1.18 | 1.12 | 1.12 | 0.91 | 0.94 | ||||||
| CrowdStrike Holdings Inc. | 1.48 | 1.38 | 1.29 | 1.35 | 1.42 | 1.41 | 1.28 | 1.36 | 1.41 | 1.44 | 1.42 | 1.54 | 1.57 | 1.71 | 2.22 | 1.51 | 1.76 | 1.81 | ||||||
| Datadog Inc. | 2.89 | 2.40 | 2.25 | 1.80 | 1.65 | 2.86 | 2.58 | 2.78 | 2.87 | 2.61 | 2.48 | 2.62 | 2.72 | 2.78 | 2.94 | 3.33 | 3.70 | 4.82 | ||||||
| International Business Machines Corp. | 0.41 | 0.50 | 0.45 | 0.48 | 0.54 | 0.60 | 0.39 | 0.36 | 0.50 | 0.57 | 0.28 | 0.32 | 0.24 | 0.32 | 0.22 | 0.23 | 0.22 | 0.31 | ||||||
| Intuit Inc. | 0.34 | 0.39 | 0.54 | 0.76 | 0.24 | 0.45 | 0.97 | 0.97 | 0.54 | 0.82 | 0.90 | 1.09 | 0.48 | 1.52 | 1.46 | 1.52 | 1.02 | 2.69 | ||||||
| Microsoft Corp. | 0.66 | 0.68 | 0.60 | 0.68 | 0.67 | 1.15 | 1.07 | 1.22 | 1.22 | 1.23 | 1.10 | 1.35 | 1.62 | 1.62 | 1.47 | 1.74 | 1.96 | 1.97 | ||||||
| Oracle Corp. | 0.39 | 0.34 | 0.34 | 0.40 | 0.36 | 0.48 | 0.44 | 0.38 | 0.27 | 0.32 | 1.12 | 1.12 | 1.21 | 1.70 | 1.93 | 1.77 | 1.81 | 2.26 | ||||||
| Palantir Technologies Inc. | 5.51 | 5.61 | 5.25 | 4.84 | 4.96 | 5.15 | 4.93 | 4.77 | 4.53 | 4.83 | 4.48 | 3.59 | 3.69 | 3.77 | 3.83 | 3.64 | 3.43 | 3.50 | ||||||
| Palo Alto Networks Inc. | 0.43 | 0.46 | 0.34 | 0.41 | 0.43 | 0.52 | 0.31 | 0.46 | 0.39 | 0.46 | 0.44 | 0.50 | 0.45 | 0.48 | 0.57 | 0.98 | 0.72 | 1.22 | ||||||
| Salesforce Inc. | 0.60 | 0.76 | 0.53 | 0.61 | 0.60 | 0.65 | 0.48 | 0.65 | 0.67 | 0.68 | 0.48 | 0.62 | 0.55 | 0.98 | 0.67 | 0.78 | 0.72 | 0.76 | ||||||
| ServiceNow Inc. | 0.72 | 0.80 | 0.69 | 0.78 | 0.75 | 0.73 | 0.66 | 0.73 | 0.82 | 0.85 | 0.71 | 0.89 | 0.81 | 0.83 | 0.67 | 0.80 | 0.76 | 0.94 | ||||||
| Synopsys Inc. | 5.93 | 1.62 | 1.53 | 0.79 | 0.66 | 0.48 | 0.53 | 0.67 | 0.62 | 0.48 | 0.56 | 0.60 | 0.70 | 0.51 | 0.65 | 0.66 | 0.65 | 0.47 | ||||||
| Workday Inc. | 1.63 | 1.62 | 1.55 | 1.71 | 1.59 | 1.56 | 1.32 | 1.48 | 1.30 | 1.31 | 0.72 | 0.83 | 0.77 | 0.71 | 0.83 | 0.81 | 1.08 | 0.94 | ||||||
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).
1 Q2 2025 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 1,192,608 ÷ 1,093,885 = 1.09
2 Click competitor name to see calculations.
- Total cash assets
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Total cash assets exhibit considerable fluctuation over the observed periods. Initially, there is a significant increase from approximately $761 million to about $2.57 billion by the end of 2021. Following this peak, cash assets decline sharply in the first half of 2022 and then stabilize with moderate increases and decreases through 2023 and 2024. Notably, there is a resurgence in cash assets towards the end of the dataset, reaching over $1.19 billion by mid-2025. This pattern suggests periods of accumulation and depletion of cash which may align with operational or investment activities.
- Current liabilities
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Current liabilities demonstrate an overall upward trend with intermittent volatility. Starting at approximately $487 million, liabilities rise steadily, peaking several times throughout the timeline, notably exceeding $1.4 billion in mid-2025. Despite some periods of reduction, the general movement points to an increasing short-term obligation load, potentially indicating expanded operational scale or increased short-term borrowing.
- Cash ratio
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The cash ratio shows substantial variation across the quarters, initially ranging between 1.56 and 4.02 in the early data points, indicating strong liquidity positions at times. However, after the high of 4.02 at the end of 2021, there is a marked decline to levels below 1.0 in parts of 2023 and 2024, with the lowest ratio around 0.39. The ratio recovers somewhat by mid-2025 to a little over 1.0. This variability reveals fluctuating liquidity conditions, with certain periods where the company might face tighter liquidity constraints given current liabilities surpassing cash assets.
- Overall analysis
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The financial data indicates a dynamic liquidity and short-term obligations environment. Periods of strong liquidity, as evidenced by high cash assets and cash ratios, are interspersed with intervals of reduced cash coverage relative to current liabilities. The rising trend in current liabilities alongside fluctuating cash balances suggests active management of working capital or shifting operational demands. The recovery in cash ratio towards the later dates may reflect strategic efforts to strengthen liquidity after periods of constraint. Continuous monitoring of this balance would be important to ensure sustainable financial flexibility.