Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
AT&T Inc., liquidity ratios
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Current ratio | 0.71 | 0.59 | 0.70 | 0.82 | 0.79 | |
| Quick ratio | 0.33 | 0.27 | 0.45 | 0.47 | 0.50 | |
| Cash ratio | 0.13 | 0.07 | 0.25 | 0.15 | 0.18 |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | AT&T Inc. current ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | AT&T Inc. quick ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | AT&T Inc. cash ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023. |
Current Ratio
AT&T Inc., current ratio calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current assets | 36,458) | 33,108) | 59,997) | 52,008) | 54,761) | |
| Current liabilities | 51,127) | 56,173) | 85,588) | 63,438) | 68,911) | |
| Liquidity Ratio | ||||||
| Current ratio1 | 0.71 | 0.59 | 0.70 | 0.82 | 0.79 | |
| Benchmarks | ||||||
| Current Ratio, Competitors2 | ||||||
| T-Mobile US Inc. | 0.91 | 0.77 | 0.89 | 1.10 | 0.74 | |
| Verizon Communications Inc. | 0.69 | 0.75 | 0.78 | 1.38 | 0.84 | |
| Current Ratio, Sector | ||||||
| Telecommunication Services | 0.74 | 0.69 | 0.75 | 1.05 | 0.80 | |
| Current Ratio, Industry | ||||||
| Communication Services | 1.30 | 1.28 | 1.41 | 1.74 | 1.49 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Current ratio = Current assets ÷ Current liabilities
= 36,458 ÷ 51,127 = 0.71
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. | AT&T Inc. current ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
Quick Ratio
AT&T Inc., quick ratio calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cash and cash equivalents | 6,722) | 3,701) | 21,169) | 9,740) | 12,130) | |
| Accounts receivable, net of related allowance for credit loss | 10,289) | 11,466) | 17,571) | 20,215) | 22,636) | |
| Total quick assets | 17,011) | 15,167) | 38,740) | 29,955) | 34,766) | |
| Current liabilities | 51,127) | 56,173) | 85,588) | 63,438) | 68,911) | |
| Liquidity Ratio | ||||||
| Quick ratio1 | 0.33 | 0.27 | 0.45 | 0.47 | 0.50 | |
| Benchmarks | ||||||
| Quick Ratio, Competitors2 | ||||||
| T-Mobile US Inc. | 0.68 | 0.57 | 0.66 | 0.84 | 0.48 | |
| Verizon Communications Inc. | 0.51 | 0.54 | 0.57 | 1.16 | 0.62 | |
| Quick Ratio, Sector | ||||||
| Telecommunication Services | 0.47 | 0.43 | 0.52 | 0.76 | 0.54 | |
| Quick Ratio, Industry | ||||||
| Communication Services | 1.11 | 1.08 | 1.22 | 1.53 | 1.26 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 17,011 ÷ 51,127 = 0.33
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. | AT&T Inc. quick ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023. |
Cash Ratio
AT&T Inc., cash ratio calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cash and cash equivalents | 6,722) | 3,701) | 21,169) | 9,740) | 12,130) | |
| Total cash assets | 6,722) | 3,701) | 21,169) | 9,740) | 12,130) | |
| Current liabilities | 51,127) | 56,173) | 85,588) | 63,438) | 68,911) | |
| Liquidity Ratio | ||||||
| Cash ratio1 | 0.13 | 0.07 | 0.25 | 0.15 | 0.18 | |
| Benchmarks | ||||||
| Cash Ratio, Competitors2 | ||||||
| T-Mobile US Inc. | 0.25 | 0.18 | 0.28 | 0.48 | 0.12 | |
| Verizon Communications Inc. | 0.04 | 0.05 | 0.06 | 0.56 | 0.06 | |
| Cash Ratio, Sector | ||||||
| Telecommunication Services | 0.11 | 0.08 | 0.20 | 0.34 | 0.13 | |
| Cash Ratio, Industry | ||||||
| Communication Services | 0.68 | 0.64 | 0.80 | 1.07 | 0.81 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 6,722 ÷ 51,127 = 0.13
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. | AT&T Inc. cash ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023. |