Astrana Health Inc (ASTH)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 293,807 | 288,027 | 233,097 | 193,470 | 103,189 |
| Short-term investments | US$ in thousands | 2,846 | 11,167 | 81,810 | 67,753 | 116,609 |
| Total current liabilities | US$ in thousands | 218,674 | 148,610 | 115,371 | 114,992 | 105,424 |
| Cash ratio | 1.36 | 2.01 | 2.73 | 2.27 | 2.08 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($293,807K
+ $2,846K)
÷ $218,674K
= 1.36
The cash ratio of Astrana Health Inc has been exhibiting a declining trend over the past five years. The ratio stood at 1.36 in 2023, compared to higher levels of 2.01 in 2022, 2.73 in 2021, 2.27 in 2020, and 2.08 in 2019.
The cash ratio measures a company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio is generally preferred as it indicates a stronger liquidity position and ability to meet short-term obligations comfortably.
The decreasing trend in Astrana Health Inc's cash ratio could suggest that the company may be utilizing its cash for investments, acquisitions, or other uses instead of maintaining higher levels of cash reserves. It is important for investors and stakeholders to monitor this trend to ensure the company maintains a healthy liquidity position for any unforeseen circumstances.
Peer comparison
Dec 31, 2023