Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Yahoo! Inc., liquidity ratios
| Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | ||
|---|---|---|---|---|---|---|
| Current ratio | 6.31 | 5.88 | 2.14 | 3.75 | 4.38 | |
| Quick ratio | 6.14 | 5.41 | 1.99 | 3.27 | 4.02 | |
| Cash ratio | 5.30 | 4.59 | 1.77 | 2.54 | 3.24 |
Based on: 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Yahoo! Inc. current ratio improved from 2014 to 2015 and from 2015 to 2016. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Yahoo! Inc. quick ratio improved from 2014 to 2015 and from 2015 to 2016. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Yahoo! Inc. cash ratio improved from 2014 to 2015 and from 2015 to 2016. |
Current Ratio
Yahoo! Inc., current ratio calculation, comparison to benchmarks
| Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Current assets | 8,126,160) | 7,507,319) | 9,699,107) | 5,025,857) | 5,652,713) | |
| Current liabilities | 1,287,424) | 1,277,380) | 4,528,581) | 1,340,312) | 1,290,232) | |
| Liquidity Ratio | ||||||
| Current ratio1 | 6.31 | 5.88 | 2.14 | 3.75 | 4.38 | |
| Benchmarks | ||||||
| Current Ratio, Competitors2 | ||||||
| Accenture PLC | — | — | — | — | — | |
| Adobe Inc. | — | — | — | — | — | |
| Cadence Design Systems Inc. | — | — | — | — | — | |
| CrowdStrike Holdings Inc. | — | — | — | — | — | |
| International Business Machines Corp. | — | — | — | — | — | |
| Intuit Inc. | — | — | — | — | — | |
| Microsoft Corp. | — | — | — | — | — | |
| Oracle Corp. | — | — | — | — | — | |
| Palantir Technologies Inc. | — | — | — | — | — | |
| Palo Alto Networks Inc. | — | — | — | — | — | |
| Salesforce Inc. | — | — | — | — | — | |
| ServiceNow Inc. | — | — | — | — | — | |
| Synopsys Inc. | — | — | — | — | — | |
| Workday Inc. | — | — | — | — | — | |
Based on: 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
1 2016 Calculation
Current ratio = Current assets ÷ Current liabilities
= 8,126,160 ÷ 1,287,424 = 6.31
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. | Yahoo! Inc. current ratio improved from 2014 to 2015 and from 2015 to 2016. |
Quick Ratio
Yahoo! Inc., quick ratio calculation, comparison to benchmarks
| Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Cash and cash equivalents | 1,119,469) | 1,631,911) | 2,667,916) | 2,077,590) | 2,667,778) | |
| Short-term marketable securities | 5,700,925) | 4,225,112) | 5,327,412) | 1,330,304) | 1,516,175) | |
| Accounts receivable, net of allowance | 1,084,267) | 1,047,504) | 1,032,704) | 979,559) | 1,008,448) | |
| Total quick assets | 7,904,661) | 6,904,527) | 9,028,032) | 4,387,453) | 5,192,401) | |
| Current liabilities | 1,287,424) | 1,277,380) | 4,528,581) | 1,340,312) | 1,290,232) | |
| Liquidity Ratio | ||||||
| Quick ratio1 | 6.14 | 5.41 | 1.99 | 3.27 | 4.02 | |
| Benchmarks | ||||||
| Quick Ratio, Competitors2 | ||||||
| Accenture PLC | — | — | — | — | — | |
| Adobe Inc. | — | — | — | — | — | |
| Cadence Design Systems Inc. | — | — | — | — | — | |
| CrowdStrike Holdings Inc. | — | — | — | — | — | |
| International Business Machines Corp. | — | — | — | — | — | |
| Intuit Inc. | — | — | — | — | — | |
| Microsoft Corp. | — | — | — | — | — | |
| Oracle Corp. | — | — | — | — | — | |
| Palantir Technologies Inc. | — | — | — | — | — | |
| Palo Alto Networks Inc. | — | — | — | — | — | |
| Salesforce Inc. | — | — | — | — | — | |
| ServiceNow Inc. | — | — | — | — | — | |
| Synopsys Inc. | — | — | — | — | — | |
| Workday Inc. | — | — | — | — | — | |
Based on: 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
1 2016 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 7,904,661 ÷ 1,287,424 = 6.14
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. | Yahoo! Inc. quick ratio improved from 2014 to 2015 and from 2015 to 2016. |
Cash Ratio
Yahoo! Inc., cash ratio calculation, comparison to benchmarks
| Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Cash and cash equivalents | 1,119,469) | 1,631,911) | 2,667,916) | 2,077,590) | 2,667,778) | |
| Short-term marketable securities | 5,700,925) | 4,225,112) | 5,327,412) | 1,330,304) | 1,516,175) | |
| Total cash assets | 6,820,394) | 5,857,023) | 7,995,328) | 3,407,894) | 4,183,953) | |
| Current liabilities | 1,287,424) | 1,277,380) | 4,528,581) | 1,340,312) | 1,290,232) | |
| Liquidity Ratio | ||||||
| Cash ratio1 | 5.30 | 4.59 | 1.77 | 2.54 | 3.24 | |
| Benchmarks | ||||||
| Cash Ratio, Competitors2 | ||||||
| Accenture PLC | — | — | — | — | — | |
| Adobe Inc. | — | — | — | — | — | |
| Cadence Design Systems Inc. | — | — | — | — | — | |
| CrowdStrike Holdings Inc. | — | — | — | — | — | |
| International Business Machines Corp. | — | — | — | — | — | |
| Intuit Inc. | — | — | — | — | — | |
| Microsoft Corp. | — | — | — | — | — | |
| Oracle Corp. | — | — | — | — | — | |
| Palantir Technologies Inc. | — | — | — | — | — | |
| Palo Alto Networks Inc. | — | — | — | — | — | |
| Salesforce Inc. | — | — | — | — | — | |
| ServiceNow Inc. | — | — | — | — | — | |
| Synopsys Inc. | — | — | — | — | — | |
| Workday Inc. | — | — | — | — | — | |
Based on: 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
1 2016 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 6,820,394 ÷ 1,287,424 = 5.30
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. | Yahoo! Inc. cash ratio improved from 2014 to 2015 and from 2015 to 2016. |