Stock Analysis on Net
Stock Analysis on Net

Coca-Cola Co. (NYSE:KO)

Analysis of Liquidity Ratios

Microsoft Excel LibreOffice Calc

Liquidity ratios measure the company’s ability to meet its short-term obligations.

Liquidity Ratios (Summary)

Coca-Cola Co., liquidity ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Current ratio 1.32 0.76 1.05 1.34 1.28
Quick ratio 0.96 0.56 0.66 0.90 0.98
Cash ratio 0.75 0.41 0.55 0.76 0.84

Based on: 10-K (filing date: 2021-02-25), 10-K (filing date: 2020-02-24), 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-24).

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

Current Ratio

Coca-Cola 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 19,240  20,411  30,634  36,545  34,010 
Current liabilities 14,601  26,973  29,223  27,194  26,532 
Liquidity Ratio
Current ratio1 1.32 0.76 1.05 1.34 1.28
Benchmarks
Current Ratio, Competitors2
Altria Group Inc. 0.79 0.59 0.20 0.64 0.98
Mondelēz International Inc. 0.66 0.50 0.45 0.48 0.59
PepsiCo Inc. 0.98 0.86 0.99 1.51 1.28
Philip Morris International Inc. 1.10 1.09 1.13 1.35 1.07
Current Ratio, Sector
Food, Beverage & Tobacco 0.99 0.79 0.79 1.17 1.10
Current Ratio, Industry
Consumer Staples 0.93 0.83 0.82 1.02 1.05

Based on: 10-K (filing date: 2021-02-25), 10-K (filing date: 2020-02-24), 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-24).

1 2020 Calculation
Current ratio = Current assets ÷ Current liabilities
= 19,240 ÷ 14,601 = 1.32

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. Coca-Cola Co.’s current ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.

Quick Ratio

Coca-Cola 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 6,795  6,480  8,926  6,006  8,555 
Short-term investments 1,771  1,467  2,025  9,352  9,595 
Marketable securities 2,348  3,228  5,013  5,317  4,051 
Trade accounts receivable, less allowances 3,144  3,971  3,396  3,667  3,856 
Total quick assets 14,058  15,146  19,360  24,342  26,057 
 
Current liabilities 14,601  26,973  29,223  27,194  26,532 
Liquidity Ratio
Quick ratio1 0.96 0.56 0.66 0.90 0.98
Benchmarks
Quick Ratio, Competitors2
Altria Group Inc. 0.56 0.28 0.07 0.21 0.64
Mondelēz International Inc. 0.43 0.28 0.25 0.27 0.36
PepsiCo Inc. 0.77 0.66 0.82 1.29 1.08
Philip Morris International Inc. 0.56 0.56 0.59 0.76 0.47
Quick Ratio, Sector
Food, Beverage & Tobacco 0.67 0.51 0.50 0.80 0.77
Quick Ratio, Industry
Consumer Staples 0.50 0.41 0.41 0.55 0.54

Based on: 10-K (filing date: 2021-02-25), 10-K (filing date: 2020-02-24), 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-24).

1 2020 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 14,058 ÷ 14,601 = 0.96

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. Coca-Cola Co.’s quick ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.

Cash Ratio

Coca-Cola 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 6,795  6,480  8,926  6,006  8,555 
Short-term investments 1,771  1,467  2,025  9,352  9,595 
Marketable securities 2,348  3,228  5,013  5,317  4,051 
Total cash assets 10,914  11,175  15,964  20,675  22,201 
 
Current liabilities 14,601  26,973  29,223  27,194  26,532 
Liquidity Ratio
Cash ratio1 0.75 0.41 0.55 0.76 0.84
Benchmarks
Cash Ratio, Competitors2
Altria Group Inc. 0.55 0.26 0.06 0.18 0.62
Mondelēz International Inc. 0.24 0.08 0.07 0.05 0.12
PepsiCo Inc. 0.41 0.28 0.50 0.95 0.76
Philip Morris International Inc. 0.37 0.36 0.38 0.53 0.26
Cash Ratio, Sector
Food, Beverage & Tobacco 0.44 0.30 0.34 0.59 0.57
Cash Ratio, Industry
Consumer Staples 0.36 0.26 0.27 0.39 0.39

Based on: 10-K (filing date: 2021-02-25), 10-K (filing date: 2020-02-24), 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-24).

1 2020 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 10,914 ÷ 14,601 = 0.75

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. Coca-Cola Co.’s cash ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.