Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Dell Technologies Inc., liquidity ratios
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Dell Technologies Inc. current ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Dell Technologies Inc. quick ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Dell Technologies Inc. cash ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
Current Ratio
Dell Technologies Inc., current ratio calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Current assets | 35,947) | 42,351) | 45,033) | 43,567) | 36,868) | 36,138) | |
| Current liabilities | 48,494) | 51,654) | 56,219) | 54,132) | 52,456) | 44,972) | |
| Liquidity Ratio | |||||||
| Current ratio1 | 0.74 | 0.82 | 0.80 | 0.80 | 0.70 | 0.80 | |
| Benchmarks | |||||||
| Current Ratio, Competitors2 | |||||||
| Apple Inc. | 0.87 | 0.99 | 0.88 | 1.07 | 1.36 | 1.54 | |
| Arista Networks Inc. | — | 4.39 | 4.29 | 4.34 | 4.99 | 5.81 | |
| Cisco Systems Inc. | 0.91 | 1.38 | 1.43 | 1.49 | 1.72 | 1.51 | |
| Super Micro Computer Inc. | — | 2.31 | 1.91 | 1.93 | 2.25 | 2.35 | |
| Current Ratio, Sector | |||||||
| Technology Hardware & Equipment | — | 1.04 | 0.95 | 1.08 | 1.24 | — | |
| Current Ratio, Industry | |||||||
| Information Technology | — | 1.41 | 1.37 | 1.55 | 1.71 | — | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Current ratio = Current assets ÷ Current liabilities
= 35,947 ÷ 48,494 = 0.74
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. | Dell Technologies Inc. current ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |
Quick Ratio
Dell Technologies Inc., quick ratio calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Cash and cash equivalents | 7,366) | 8,607) | 9,477) | 14,201) | 9,302) | 9,676) | |
| Accounts receivable, net of allowance | 9,343) | 12,482) | 12,912) | 12,788) | 12,484) | 12,371) | |
| Due from related party, net | —) | 378) | 131) | —) | —) | —) | |
| Short-term financing receivables, net of allowance | 4,643) | 5,281) | 5,089) | 5,155) | 4,895) | 4,398) | |
| Total quick assets | 21,352) | 26,748) | 27,609) | 32,144) | 26,681) | 26,445) | |
| Current liabilities | 48,494) | 51,654) | 56,219) | 54,132) | 52,456) | 44,972) | |
| Liquidity Ratio | |||||||
| Quick ratio1 | 0.44 | 0.52 | 0.49 | 0.59 | 0.51 | 0.59 | |
| Benchmarks | |||||||
| Quick Ratio, Competitors2 | |||||||
| Apple Inc. | 0.75 | 0.84 | 0.71 | 0.91 | 1.22 | 1.38 | |
| Arista Networks Inc. | — | 3.16 | 3.05 | 3.54 | 4.25 | 5.22 | |
| Cisco Systems Inc. | 0.69 | 1.13 | 1.16 | 1.32 | 1.58 | 1.39 | |
| Super Micro Computer Inc. | — | 1.16 | 0.75 | 0.72 | 0.87 | 1.06 | |
| Quick Ratio, Sector | |||||||
| Technology Hardware & Equipment | — | 0.83 | 0.72 | 0.89 | 1.08 | — | |
| Quick Ratio, Industry | |||||||
| Information Technology | — | 1.12 | 1.09 | 1.30 | 1.47 | — | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 21,352 ÷ 48,494 = 0.44
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. | Dell Technologies Inc. quick ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. |
Cash Ratio
Dell Technologies Inc., cash ratio calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Cash and cash equivalents | 7,366) | 8,607) | 9,477) | 14,201) | 9,302) | 9,676) | |
| Total cash assets | 7,366) | 8,607) | 9,477) | 14,201) | 9,302) | 9,676) | |
| Current liabilities | 48,494) | 51,654) | 56,219) | 54,132) | 52,456) | 44,972) | |
| Liquidity Ratio | |||||||
| Cash ratio1 | 0.15 | 0.17 | 0.17 | 0.26 | 0.18 | 0.22 | |
| Benchmarks | |||||||
| Cash Ratio, Competitors2 | |||||||
| Apple Inc. | 0.37 | 0.42 | 0.31 | 0.50 | 0.86 | 0.95 | |
| Arista Networks Inc. | — | 2.62 | 2.34 | 3.07 | 3.74 | 4.56 | |
| Cisco Systems Inc. | 0.44 | 0.84 | 0.75 | 0.93 | 1.16 | 1.05 | |
| Super Micro Computer Inc. | — | 0.32 | 0.18 | 0.24 | 0.30 | 0.41 | |
| Cash Ratio, Sector | |||||||
| Technology Hardware & Equipment | — | 0.44 | 0.34 | 0.50 | 0.72 | — | |
| Cash Ratio, Industry | |||||||
| Information Technology | — | 0.70 | 0.66 | 0.89 | 1.07 | — | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 7,366 ÷ 48,494 = 0.15
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. | Dell Technologies Inc. cash ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |