Ametek Inc (AME)
Quick ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 373,999 | 396,266 | 396,573 | 373,765 | 409,804 | 841,901 | 605,587 | 399,873 | 345,386 | 309,944 | 348,653 | 340,304 | 346,772 | 358,676 | 390,644 | 1,123,660 | 1,212,820 | 1,304,840 | 1,130,980 | 1,253,380 |
| Short-term investments | US$ in thousands | — | 487,793 | — | — | — | — | — | — | — | — | -388,156 | — | — | 325,463 | 322,157 | 297,152 | 292,625 | 281,837 | — | — |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 2,098,590 | 1,966,920 | 2,203,050 | 2,502,510 | 2,882,570 | 1,673,720 | 1,341,190 | 1,452,670 | 1,564,200 | 1,591,380 | 1,633,030 | 1,590,740 | 1,563,310 | 1,633,830 | 1,857,630 | 1,138,460 | 1,075,920 | 1,403,490 | 1,017,450 | 1,477,670 |
| Quick ratio | 0.18 | 0.45 | 0.18 | 0.15 | 0.14 | 0.50 | 0.45 | 0.28 | 0.22 | 0.19 | -0.02 | 0.21 | 0.22 | 0.42 | 0.38 | 1.25 | 1.40 | 1.13 | 1.11 | 0.85 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($373,999K
+ $—K
+ $—K)
÷ $2,098,590K
= 0.18
The quick ratio of Ametek Inc has varied over the years, indicating the company's ability to meet its short-term obligations without relying heavily on inventory. The ratio stood at 0.85 as of March 31, 2020, below the ideal value of 1.0, suggesting potential liquidity concerns. However, the quick ratio steadily improved, reaching a peak of 1.40 by December 31, 2020, reflecting a stronger ability to cover current liabilities with quick assets.
Subsequently, the quick ratio experienced fluctuation, with some quarters showing ratios below 1.0, such as the significant drop to 0.22 on December 31, 2021. This could imply potential difficulties in meeting short-term obligations from readily available assets. The ratio further declined to 0.02 on June 30, 2022, indicating a significant decrease in liquidity, potentially raising concerns about the company's ability to pay off its current liabilities promptly.
While there were fluctuations in the following quarters, the quick ratio generally stayed within the range of 0.14 to 0.50 up to December 31, 2024. Overall, the quick ratio trend suggests that Ametek Inc may have encountered occasional liquidity challenges during the period, with fluctuations impacting its ability to cover short-term obligations effectively. Monitoring and managing liquidity levels would be essential for the company to ensure financial stability and meet its obligations in a timely manner.
Peer comparison
Dec 31, 2024