Altair Engineering Inc (ALTR)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 467,459 | 316,146 | 413,743 | 241,221 | 223,117 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | 207,111 | 181,538 | 146,949 | 124,614 | 112,248 |
| Total current liabilities | US$ in thousands | 324,110 | 232,738 | 473,978 | 200,754 | 152,866 |
| Quick ratio | 2.08 | 2.14 | 1.18 | 1.82 | 2.19 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($467,459K
+ $—K
+ $207,111K)
÷ $324,110K
= 2.08
The quick ratio for Altair Engineering Inc has exhibited fluctuations over the past five years. In 2023, the quick ratio stands at 2.08, a slight decrease from the previous year's ratio of 2.14. This indicates that the company's ability to meet its short-term obligations using its most liquid assets has slightly declined.
Comparing 2023 to 2021, the quick ratio has significantly improved from 1.18 to 2.08, suggesting a strengthening liquidity position. However, the ratio saw a notable drop in 2021 from 1.82 in 2020, indicating a temporary decrease in the company’s ability to cover immediate liabilities with liquid assets.
Overall, Altair Engineering Inc's quick ratio has shown some volatility, with fluctuations up and down. The current ratio level is relatively healthy at 2.08, indicating a strong capacity to meet short-term obligations with liquid assets, but investors and analysts may want to continue monitoring this trend over time.
Peer comparison
Dec 31, 2023