Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

3M Co. (NYSE:MMM)

Analysis of Liquidity Ratios

Beginner level

Liquidity Ratios (Summary)

3M Co., liquidity ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Current ratio 1.89 1.41 1.89 1.86 1.89
Quick ratio 1.23 0.79 1.14 1.18 1.14
Cash ratio 0.63 0.27 0.45 0.54 0.43

Based on: 10-K (filing date: 2021-02-04), 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-07), 10-K (filing date: 2018-02-08), 10-K (filing date: 2017-02-09).

Liquidity ratio Description The company
Current ratio A liquidity ratio calculated as current assets divided by current liabilities. 3M Co.’s current ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 not reaching 2018 level.
Quick ratio A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. 3M Co.’s quick ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.
Cash ratio A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. 3M Co.’s cash ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.

Current Ratio

3M Co., current ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Current assets 14,982  12,971  13,709  14,277  11,726 
Current liabilities 7,948  9,222  7,244  7,687  6,219 
Liquidity Ratio
Current ratio1 1.89 1.41 1.89 1.86 1.89
Benchmarks
Current Ratio, Competitors2
General Electric Co. 1.58 1.16 1.08 1.16 1.17
Honeywell International Inc. 1.47 1.34 1.29 1.38 1.41
Current Ratio, Sector
General Industrials 1.21 1.19 1.25 1.25
Current Ratio, Industry
Industrials 1.18 1.16 1.27 1.24

Based on: 10-K (filing date: 2021-02-04), 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-07), 10-K (filing date: 2018-02-08), 10-K (filing date: 2017-02-09).

1 2020 Calculation
Current ratio = Current assets ÷ Current liabilities
= 14,982 ÷ 7,948 = 1.89

2 Click competitor name to see calculations.

Liquidity ratio Description The company
Current ratio A liquidity ratio calculated as current assets divided by current liabilities. 3M Co.’s current ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 not reaching 2018 level.

Quick Ratio

3M Co., quick ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Cash and cash equivalents 4,634  2,353  2,853  3,053  2,398 
Marketable securities, current 404  98  380  1,076  280 
Accounts receivable, net of allowances 4,705  4,791  5,020  4,911  4,392 
Total quick assets 9,743  7,242  8,253  9,040  7,070 
 
Current liabilities 7,948  9,222  7,244  7,687  6,219 
Liquidity Ratio
Quick ratio1 1.23 0.79 1.14 1.18 1.14
Benchmarks
Quick Ratio, Competitors2
General Electric Co. 1.16 0.86 0.79 0.84 0.87
Honeywell International Inc. 1.15 0.99 0.97 1.04 1.07
Quick Ratio, Sector
General Industrials 0.88 0.85 0.90 0.92
Quick Ratio, Industry
Industrials 0.68 0.67 0.79 0.75

Based on: 10-K (filing date: 2021-02-04), 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-07), 10-K (filing date: 2018-02-08), 10-K (filing date: 2017-02-09).

1 2020 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 9,743 ÷ 7,948 = 1.23

2 Click competitor name to see calculations.

Liquidity ratio Description The company
Quick ratio A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. 3M Co.’s quick ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.

Cash Ratio

3M Co., cash ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Cash and cash equivalents 4,634  2,353  2,853  3,053  2,398 
Marketable securities, current 404  98  380  1,076  280 
Total cash assets 5,038  2,451  3,233  4,129  2,678 
 
Current liabilities 7,948  9,222  7,244  7,687  6,219 
Liquidity Ratio
Cash ratio1 0.63 0.27 0.45 0.54 0.43
Benchmarks
Cash Ratio, Competitors2
General Electric Co. 0.78 0.60 0.50 0.54 0.58
Honeywell International Inc. 0.79 0.58 0.58 0.57 0.57
Cash Ratio, Sector
General Industrials 0.56 0.51 0.54 0.57
Cash Ratio, Industry
Industrials 0.30 0.27 0.38 0.37

Based on: 10-K (filing date: 2021-02-04), 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-07), 10-K (filing date: 2018-02-08), 10-K (filing date: 2017-02-09).

1 2020 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 5,038 ÷ 7,948 = 0.63

2 Click competitor name to see calculations.

Liquidity ratio Description The company
Cash ratio A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. 3M Co.’s cash ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.