Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Texas Instruments Inc., liquidity ratios
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Current ratio | 4.55 | 4.70 | 5.33 | 4.28 | 4.13 | |
| Quick ratio | 3.12 | 3.67 | 4.45 | 3.34 | 3.04 | |
| Cash ratio | 2.58 | 3.04 | 3.79 | 2.75 | 2.54 |
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. | Texas Instruments Inc. current ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Texas Instruments Inc. quick ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Texas Instruments Inc. cash ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Current Ratio
Texas Instruments 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 | 15,122) | 14,021) | 13,685) | 10,239) | 8,761) | |
| Current liabilities | 3,320) | 2,985) | 2,569) | 2,390) | 2,123) | |
| Liquidity Ratio | ||||||
| Current ratio1 | 4.55 | 4.70 | 5.33 | 4.28 | 4.13 | |
| Benchmarks | ||||||
| Current Ratio, Competitors2 | ||||||
| Advanced Micro Devices Inc. | 2.51 | 2.36 | 2.02 | 2.54 | 1.95 | |
| Analog Devices Inc. | 1.37 | 2.02 | 1.94 | 1.84 | 1.32 | |
| Applied Materials Inc. | 2.60 | 2.16 | 2.54 | 3.00 | 2.30 | |
| Broadcom Inc. | 2.82 | 2.62 | 2.64 | 1.87 | 1.44 | |
| Intel Corp. | 1.54 | 1.57 | 2.10 | 1.91 | 1.40 | |
| KLA Corp. | 2.24 | 2.50 | 2.71 | 2.78 | 2.44 | |
| Lam Research Corp. | 3.16 | 2.69 | 3.30 | 3.43 | 3.61 | |
| Micron Technology Inc. | 4.46 | 2.89 | 3.10 | 2.71 | 2.58 | |
| Monolithic Power Systems Inc. | 7.74 | 5.36 | 4.96 | 5.73 | 6.67 | |
| NVIDIA Corp. | 3.52 | 6.65 | 4.09 | 7.67 | 7.94 | |
| Qualcomm Inc. | 2.33 | 1.75 | 1.68 | 2.14 | 1.88 | |
| Current Ratio, Sector | ||||||
| Semiconductors & Semiconductor Equipment | 2.46 | 2.35 | 2.47 | 2.47 | 2.05 | |
| Current Ratio, Industry | ||||||
| Information Technology | 1.41 | 1.37 | 1.55 | 1.71 | 1.66 | |
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
= 15,122 ÷ 3,320 = 4.55
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. | Texas Instruments Inc. current ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Quick Ratio
Texas Instruments 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 | 2,964) | 3,050) | 4,631) | 3,107) | 2,437) | |
| Short-term investments | 5,611) | 6,017) | 5,108) | 3,461) | 2,950) | |
| Accounts receivable, net of allowances | 1,787) | 1,895) | 1,701) | 1,414) | 1,074) | |
| Total quick assets | 10,362) | 10,962) | 11,440) | 7,982) | 6,461) | |
| Current liabilities | 3,320) | 2,985) | 2,569) | 2,390) | 2,123) | |
| Liquidity Ratio | ||||||
| Quick ratio1 | 3.12 | 3.67 | 4.45 | 3.34 | 3.04 | |
| Benchmarks | ||||||
| Quick Ratio, Competitors2 | ||||||
| Advanced Micro Devices Inc. | 1.67 | 1.57 | 1.49 | 1.81 | 1.43 | |
| Analog Devices Inc. | 0.76 | 1.34 | 1.24 | 1.31 | 0.85 | |
| Applied Materials Inc. | 1.63 | 1.17 | 1.64 | 1.95 | 1.38 | |
| Broadcom Inc. | 2.34 | 2.18 | 2.27 | 1.56 | 1.21 | |
| Intel Corp. | 1.01 | 1.01 | 1.38 | 1.24 | 0.93 | |
| KLA Corp. | 1.33 | 1.57 | 1.81 | 1.82 | 1.54 | |
| Lam Research Corp. | 1.95 | 1.72 | 2.11 | 2.22 | 2.16 | |
| Micron Technology Inc. | 2.53 | 1.92 | 2.17 | 1.82 | 1.74 | |
| Monolithic Power Systems Inc. | 5.84 | 3.50 | 3.66 | 4.50 | 5.17 | |
| NVIDIA Corp. | 2.61 | 5.96 | 3.56 | 7.04 | 6.66 | |
| Qualcomm Inc. | 1.51 | 1.01 | 1.34 | 1.75 | 1.65 | |
| Quick Ratio, Sector | ||||||
| Semiconductors & Semiconductor Equipment | 1.64 | 1.63 | 1.80 | 1.79 | 1.48 | |
| Quick Ratio, Industry | ||||||
| Information Technology | 1.12 | 1.09 | 1.30 | 1.47 | 1.44 | |
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
= 10,362 ÷ 3,320 = 3.12
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. | Texas Instruments Inc. quick ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Cash Ratio
Texas Instruments 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 | 2,964) | 3,050) | 4,631) | 3,107) | 2,437) | |
| Short-term investments | 5,611) | 6,017) | 5,108) | 3,461) | 2,950) | |
| Total cash assets | 8,575) | 9,067) | 9,739) | 6,568) | 5,387) | |
| Current liabilities | 3,320) | 2,985) | 2,569) | 2,390) | 2,123) | |
| Liquidity Ratio | ||||||
| Cash ratio1 | 2.58 | 3.04 | 3.79 | 2.75 | 2.54 | |
| Benchmarks | ||||||
| Cash Ratio, Competitors2 | ||||||
| Advanced Micro Devices Inc. | 0.86 | 0.92 | 0.85 | 0.95 | 0.64 | |
| Analog Devices Inc. | 0.30 | 0.60 | 0.71 | 0.77 | 0.43 | |
| Applied Materials Inc. | 0.93 | 0.35 | 0.86 | 1.29 | 0.81 | |
| Broadcom Inc. | 1.92 | 1.76 | 1.94 | 1.20 | 0.73 | |
| Intel Corp. | 0.89 | 0.88 | 1.03 | 0.97 | 0.59 | |
| KLA Corp. | 0.87 | 0.94 | 1.19 | 1.17 | 0.98 | |
| Lam Research Corp. | 1.28 | 0.77 | 1.25 | 1.55 | 1.54 | |
| Micron Technology Inc. | 2.01 | 1.24 | 1.34 | 1.23 | 1.24 | |
| Monolithic Power Systems Inc. | 4.86 | 2.80 | 3.19 | 4.05 | 4.64 | |
| NVIDIA Corp. | 2.03 | 4.89 | 2.95 | 6.11 | 5.58 | |
| Qualcomm Inc. | 1.18 | 0.54 | 1.04 | 1.29 | 1.37 | |
| Cash Ratio, Sector | ||||||
| Semiconductors & Semiconductor Equipment | 1.24 | 1.15 | 1.31 | 1.33 | 1.04 | |
| Cash Ratio, Industry | ||||||
| Information Technology | 0.70 | 0.66 | 0.89 | 1.07 | 1.01 | |
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
= 8,575 ÷ 3,320 = 2.58
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. | Texas Instruments Inc. cash ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |