Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Adobe Inc., liquidity ratios
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Adobe 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. | Adobe Inc. quick ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Adobe Inc. cash ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
Current Ratio
Adobe Inc., current ratio calculation, comparison to benchmarks
| Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | Nov 29, 2019 | Nov 30, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Current assets | 11,084) | 8,996) | 8,669) | 8,146) | 6,495) | 4,857) | |
| Current liabilities | 8,251) | 8,128) | 6,932) | 5,512) | 8,191) | 4,301) | |
| Liquidity Ratio | |||||||
| Current ratio1 | 1.34 | 1.11 | 1.25 | 1.48 | 0.79 | 1.13 | |
| Benchmarks | |||||||
| Current Ratio, Competitors2 | |||||||
| Accenture PLC | 1.30 | 1.23 | 1.25 | 1.40 | 1.40 | — | |
| Autodesk Inc. | 0.84 | 0.69 | 0.83 | 0.83 | 0.70 | — | |
| Cadence Design Systems Inc. | 1.24 | 1.27 | 1.77 | 1.86 | 1.74 | — | |
| CrowdStrike Holdings Inc. | 1.73 | 1.83 | 2.65 | 2.38 | — | — | |
| International Business Machines Corp. | 0.96 | 0.92 | 0.88 | 0.98 | 1.02 | — | |
| Intuit Inc. | 1.47 | 1.39 | 1.94 | 2.26 | 1.83 | — | |
| Microsoft Corp. | 1.77 | 1.78 | 2.08 | 2.52 | 2.53 | — | |
| Oracle Corp. | 0.91 | 1.62 | 2.30 | 3.03 | 2.49 | — | |
| Palo Alto Networks Inc. | 0.78 | 0.77 | 0.91 | 1.91 | 1.78 | — | |
| Salesforce Inc. | 1.02 | 1.05 | 1.23 | 1.08 | 0.95 | — | |
| ServiceNow Inc. | 1.06 | 1.11 | 1.05 | 1.21 | 1.03 | — | |
| Synopsys Inc. | 1.15 | 1.09 | 1.16 | 1.19 | 0.99 | 0.73 | |
| Current Ratio, Sector | |||||||
| Software & Services | 1.36 | 1.41 | 1.66 | 1.90 | 1.83 | — | |
| Current Ratio, Industry | |||||||
| Information Technology | 1.46 | 1.43 | 1.64 | 1.85 | 1.77 | — | |
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
1 2023 Calculation
Current ratio = Current assets ÷ Current liabilities
= 11,084 ÷ 8,251 = 1.34
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. | Adobe Inc. current ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
Quick Ratio
Adobe Inc., quick ratio calculation, comparison to benchmarks
| Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | Nov 29, 2019 | Nov 30, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Cash and cash equivalents | 7,141) | 4,236) | 3,844) | 4,478) | 2,650) | 1,643) | |
| Short-term investments | 701) | 1,860) | 1,954) | 1,514) | 1,527) | 1,586) | |
| Trade receivables, net of allowances for doubtful accounts | 2,224) | 2,065) | 1,878) | 1,398) | 1,535) | 1,316) | |
| Total quick assets | 10,066) | 8,161) | 7,676) | 7,390) | 5,712) | 4,545) | |
| Current liabilities | 8,251) | 8,128) | 6,932) | 5,512) | 8,191) | 4,301) | |
| Liquidity Ratio | |||||||
| Quick ratio1 | 1.22 | 1.00 | 1.11 | 1.34 | 0.70 | 1.06 | |
| Benchmarks | |||||||
| Quick Ratio, Competitors2 | |||||||
| Accenture PLC | 1.18 | 1.12 | 1.14 | 1.29 | 1.29 | — | |
| Autodesk Inc. | 0.76 | 0.62 | 0.77 | 0.78 | 0.62 | — | |
| Cadence Design Systems Inc. | 1.02 | 1.02 | 1.47 | 1.60 | 1.51 | — | |
| CrowdStrike Holdings Inc. | 1.58 | 1.68 | 2.50 | 2.18 | — | — | |
| International Business Machines Corp. | 0.80 | 0.73 | 0.67 | 0.83 | 0.87 | — | |
| Intuit Inc. | 1.25 | 1.17 | 1.65 | 2.04 | 1.44 | — | |
| Microsoft Corp. | 1.54 | 1.57 | 1.90 | 2.33 | 2.35 | — | |
| Oracle Corp. | 0.74 | 1.43 | 2.15 | 2.83 | 2.31 | — | |
| Palo Alto Networks Inc. | 0.72 | 0.75 | 0.88 | 1.85 | 1.72 | — | |
| Salesforce Inc. | 0.90 | 0.93 | 1.11 | 0.95 | 0.82 | — | |
| ServiceNow Inc. | 1.00 | 1.06 | 1.01 | 1.16 | 0.98 | — | |
| Synopsys Inc. | 0.85 | 0.85 | 0.89 | 0.94 | 0.73 | 0.61 | |
| Quick Ratio, Sector | |||||||
| Software & Services | 1.18 | 1.24 | 1.50 | 1.74 | 1.68 | — | |
| Quick Ratio, Industry | |||||||
| Information Technology | 1.17 | 1.15 | 1.38 | 1.59 | 1.54 | — | |
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
1 2023 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 10,066 ÷ 8,251 = 1.22
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. | Adobe Inc. quick ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
Cash Ratio
Adobe Inc., cash ratio calculation, comparison to benchmarks
| Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | Nov 29, 2019 | Nov 30, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Cash and cash equivalents | 7,141) | 4,236) | 3,844) | 4,478) | 2,650) | 1,643) | |
| Short-term investments | 701) | 1,860) | 1,954) | 1,514) | 1,527) | 1,586) | |
| Total cash assets | 7,842) | 6,096) | 5,798) | 5,992) | 4,177) | 3,229) | |
| Current liabilities | 8,251) | 8,128) | 6,932) | 5,512) | 8,191) | 4,301) | |
| Liquidity Ratio | |||||||
| Cash ratio1 | 0.95 | 0.75 | 0.84 | 1.09 | 0.51 | 0.75 | |
| Benchmarks | |||||||
| Cash Ratio, Competitors2 | |||||||
| Accenture PLC | 0.50 | 0.45 | 0.52 | 0.67 | 0.55 | — | |
| Autodesk Inc. | 0.52 | 0.44 | 0.57 | 0.57 | 0.41 | — | |
| Cadence Design Systems Inc. | 0.72 | 0.66 | 1.13 | 1.17 | 1.06 | — | |
| CrowdStrike Holdings Inc. | 1.28 | 1.42 | 2.22 | 1.85 | — | — | |
| International Business Machines Corp. | 0.39 | 0.28 | 0.22 | 0.36 | 0.24 | — | |
| Intuit Inc. | 0.97 | 0.90 | 1.46 | 2.00 | 1.39 | — | |
| Microsoft Corp. | 1.07 | 1.10 | 1.47 | 1.89 | 1.93 | — | |
| Oracle Corp. | 0.44 | 1.12 | 1.93 | 2.50 | 2.03 | — | |
| Palo Alto Networks Inc. | 0.31 | 0.44 | 0.57 | 1.39 | 1.37 | — | |
| Salesforce Inc. | 0.48 | 0.48 | 0.67 | 0.54 | 0.39 | — | |
| ServiceNow Inc. | 0.66 | 0.71 | 0.67 | 0.83 | 0.61 | — | |
| Synopsys Inc. | 0.53 | 0.56 | 0.65 | 0.58 | 0.42 | 0.34 | |
| Cash Ratio, Sector | |||||||
| Software & Services | 0.75 | 0.80 | 1.10 | 1.31 | 1.22 | — | |
| Cash Ratio, Industry | |||||||
| Information Technology | 0.75 | 0.72 | 0.96 | 1.18 | 1.10 | — | |
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
1 2023 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 7,842 ÷ 8,251 = 0.95
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. | Adobe Inc. cash ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |