Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Constellation Brands Inc., liquidity ratios
Based on: 10-K (reporting date: 2022-02-28), 10-K (reporting date: 2021-02-28), 10-K (reporting date: 2020-02-29), 10-K (reporting date: 2019-02-28), 10-K (reporting date: 2018-02-28), 10-K (reporting date: 2017-02-28).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Constellation Brands Inc. current ratio improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Constellation Brands Inc. quick ratio improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Constellation Brands Inc. cash ratio improved from 2020 to 2021 but then slightly deteriorated from 2021 to 2022 not reaching 2020 level. |
Current Ratio
Constellation Brands Inc., current ratio calculation, comparison to benchmarks
| Feb 28, 2022 | Feb 28, 2021 | Feb 29, 2020 | Feb 28, 2019 | Feb 28, 2018 | Feb 28, 2017 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Current assets | 3,329,700) | 3,044,500) | 3,484,100) | 3,684,000) | 3,474,000) | 3,230,000) | |
| Current liabilities | 2,698,800) | 1,269,100) | 2,311,800) | 3,163,800) | 1,944,700) | 2,697,600) | |
| Liquidity Ratio | |||||||
| Current ratio1 | 1.23 | 2.40 | 1.51 | 1.16 | 1.79 | 1.20 | |
| Benchmarks | |||||||
| Current Ratio, Competitors2 | |||||||
| Coca-Cola Co. | 1.15 | 1.13 | 1.32 | 0.76 | — | — | |
| Mondelēz International Inc. | 0.60 | 0.74 | 0.66 | 0.50 | — | — | |
| PepsiCo Inc. | 0.80 | 0.83 | 0.98 | 0.86 | — | — | |
| Philip Morris International Inc. | 0.72 | 0.92 | 1.10 | 1.09 | — | — | |
| Current Ratio, Sector | |||||||
| Food, Beverage & Tobacco | 0.82 | 0.91 | 1.01 | — | — | — | |
| Current Ratio, Industry | |||||||
| Consumer Staples | 0.87 | 0.93 | 0.92 | — | — | — | |
Based on: 10-K (reporting date: 2022-02-28), 10-K (reporting date: 2021-02-28), 10-K (reporting date: 2020-02-29), 10-K (reporting date: 2019-02-28), 10-K (reporting date: 2018-02-28), 10-K (reporting date: 2017-02-28).
1 2022 Calculation
Current ratio = Current assets ÷ Current liabilities
= 3,329,700 ÷ 2,698,800 = 1.23
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. | Constellation Brands Inc. current ratio improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022. |
Quick Ratio
Constellation Brands Inc., quick ratio calculation, comparison to benchmarks
| Feb 28, 2022 | Feb 28, 2021 | Feb 29, 2020 | Feb 28, 2019 | Feb 28, 2018 | Feb 28, 2017 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Cash and cash equivalents | 199,400) | 460,600) | 81,400) | 93,600) | 90,300) | 177,400) | |
| Accounts receivable | 899,000) | 785,300) | 864,800) | 846,900) | 776,200) | 737,000) | |
| Total quick assets | 1,098,400) | 1,245,900) | 946,200) | 940,500) | 866,500) | 914,400) | |
| Current liabilities | 2,698,800) | 1,269,100) | 2,311,800) | 3,163,800) | 1,944,700) | 2,697,600) | |
| Liquidity Ratio | |||||||
| Quick ratio1 | 0.41 | 0.98 | 0.41 | 0.30 | 0.45 | 0.34 | |
| Benchmarks | |||||||
| Quick Ratio, Competitors2 | |||||||
| Coca-Cola Co. | 0.77 | 0.81 | 0.96 | 0.56 | — | — | |
| Mondelēz International Inc. | 0.35 | 0.48 | 0.43 | 0.28 | — | — | |
| PepsiCo Inc. | 0.58 | 0.56 | 0.77 | 0.66 | — | — | |
| Philip Morris International Inc. | 0.29 | 0.44 | 0.56 | 0.56 | — | — | |
| Quick Ratio, Sector | |||||||
| Food, Beverage & Tobacco | 0.49 | 0.58 | 0.68 | — | — | — | |
| Quick Ratio, Industry | |||||||
| Consumer Staples | 0.38 | 0.43 | 0.47 | — | — | — | |
Based on: 10-K (reporting date: 2022-02-28), 10-K (reporting date: 2021-02-28), 10-K (reporting date: 2020-02-29), 10-K (reporting date: 2019-02-28), 10-K (reporting date: 2018-02-28), 10-K (reporting date: 2017-02-28).
1 2022 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 1,098,400 ÷ 2,698,800 = 0.41
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. | Constellation Brands Inc. quick ratio improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022. |
Cash Ratio
Constellation Brands Inc., cash ratio calculation, comparison to benchmarks
| Feb 28, 2022 | Feb 28, 2021 | Feb 29, 2020 | Feb 28, 2019 | Feb 28, 2018 | Feb 28, 2017 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Cash and cash equivalents | 199,400) | 460,600) | 81,400) | 93,600) | 90,300) | 177,400) | |
| Total cash assets | 199,400) | 460,600) | 81,400) | 93,600) | 90,300) | 177,400) | |
| Current liabilities | 2,698,800) | 1,269,100) | 2,311,800) | 3,163,800) | 1,944,700) | 2,697,600) | |
| Liquidity Ratio | |||||||
| Cash ratio1 | 0.07 | 0.36 | 0.04 | 0.03 | 0.05 | 0.07 | |
| Benchmarks | |||||||
| Cash Ratio, Competitors2 | |||||||
| Coca-Cola Co. | 0.59 | 0.63 | 0.75 | 0.41 | — | — | |
| Mondelēz International Inc. | 0.11 | 0.25 | 0.24 | 0.08 | — | — | |
| PepsiCo Inc. | 0.20 | 0.23 | 0.41 | 0.28 | — | — | |
| Philip Morris International Inc. | 0.12 | 0.23 | 0.37 | 0.36 | — | — | |
| Cash Ratio, Sector | |||||||
| Food, Beverage & Tobacco | 0.24 | 0.34 | 0.43 | — | — | — | |
| Cash Ratio, Industry | |||||||
| Consumer Staples | 0.23 | 0.30 | 0.33 | — | — | — | |
Based on: 10-K (reporting date: 2022-02-28), 10-K (reporting date: 2021-02-28), 10-K (reporting date: 2020-02-29), 10-K (reporting date: 2019-02-28), 10-K (reporting date: 2018-02-28), 10-K (reporting date: 2017-02-28).
1 2022 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 199,400 ÷ 2,698,800 = 0.07
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. | Constellation Brands Inc. cash ratio improved from 2020 to 2021 but then slightly deteriorated from 2021 to 2022 not reaching 2020 level. |