American Electric Power Co Inc (AEP)

Quick ratio

Dec 31, 2024 Sep 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019
Cash US$ in thousands 202,900 245,800 230,700 330,100 353,300 304,900 343,500 509,400 522,200 575,300 675,600 403,400 1,372,700 312,700 273,200 392,700 409,700 348,800 1,554,600 246,800
Short-term investments US$ in thousands 215,400 228,600 217,000 214,300 211,000 202,500 194,600 187,600 202,200 192,000 208,500 220,400 218,400 221,700 199,100 200,800 209,000 192,300 185,200 202,700
Receivables US$ in thousands 3,037,100 3,025,700 2,725,600 2,783,100 2,995,500 2,756,900 2,684,700 2,957,600 2,824,300 2,706,200 2,209,900 2,267,500 2,556,300 2,523,200 2,245,900 2,276,700 2,063,100 1,992,600 1,983,700 1,927,500
Total current liabilities US$ in thousands 13,009,300 10,647,600 10,906,600 11,583,600 11,278,100 13,267,100 12,621,700 13,266,300 11,836,400 12,448,000 13,568,600 12,426,700 9,954,000 10,428,600 10,220,100 9,926,700 9,047,200 10,122,000 11,654,700 10,299,100
Quick ratio 0.27 0.33 0.29 0.29 0.32 0.25 0.26 0.28 0.30 0.28 0.23 0.23 0.42 0.29 0.27 0.29 0.30 0.25 0.32 0.23

December 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($202,900K + $215,400K + $3,037,100K) ÷ $13,009,300K
= 0.27

Based on the provided data, American Electric Power Co Inc's quick ratio has fluctuated over the past few years. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets.

As of December 31, 2019, the quick ratio was only 0.23, indicating that the company had minimal liquid assets to cover its current liabilities. However, the quick ratio improved to 0.42 by September 30, 2021, suggesting a stronger liquidity position.

Subsequently, the quick ratio fluctuated between 0.23 and 0.33 until December 31, 2024. These fluctuations may indicate changes in the company's current assets or liabilities over this period.

Overall, while the company's quick ratio has shown some variability, it is essential for stakeholders to monitor these trends to assess the company's liquidity position and ability to meet its short-term obligations effectively.