Boston Scientific Corp (BSX)

Liquidity ratios

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 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Current ratio 1.32 1.42 1.29 1.40 1.51 1.45 1.31 1.18 1.48 1.55 1.66 1.80 1.82 1.87 1.87 1.21 0.97 1.14 1.31 1.39
Quick ratio 0.63 0.67 0.56 0.65 0.76 0.62 0.57 0.51 0.87 0.90 1.11 1.14 1.00 1.10 1.02 0.52 0.44 0.49 0.38 0.39
Cash ratio 0.18 0.21 0.09 0.14 0.24 0.10 0.07 0.08 0.45 0.49 0.70 0.66 0.58 0.61 0.55 0.09 0.04 0.07 0.03 0.03

The liquidity ratios of Boston Scientific Corp. have shown some fluctuation over the past eight quarters.

The current ratio, which measures the company's ability to cover its short-term liabilities with its current assets, has ranged from 1.18 to 1.51. This indicates that the company has generally had more than enough current assets to meet its short-term obligations, with a low of 1.18 in Q1 2022 and a high of 1.51 in Q4 2022.

The quick ratio, also known as the acid-test ratio, provides a more stringent measure of liquidity by excluding inventory from current assets. Boston Scientific Corp.'s quick ratio has ranged from 0.74 to 0.98, indicating that the company may have had some challenges in meeting its short-term liabilities without relying on inventory in certain quarters.

The cash ratio, which is the most conservative liquidity ratio, measures the company's ability to cover its short-term liabilities with its cash and cash equivalents. Boston Scientific Corp.'s cash ratio has ranged from 0.30 to 0.47, suggesting that the company has maintained a relatively healthy level of cash reserves to meet its short-term obligations.

Overall, while Boston Scientific Corp. has generally maintained relatively strong liquidity positions based on its current, quick, and cash ratios over the past eight quarters, there are some fluctuations that may require closer monitoring to ensure the company's ability to meet its short-term financial obligations.

See also:

Boston Scientific Corp Liquidity Ratios (Quarterly Data)

Additional liquidity measure

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 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Cash conversion cycle days 111.61 125.94 124.38 120.06 116.60 93.72 99.11 99.67 87.96 91.92 86.19 94.60 93.77 103.57 103.58 104.49 115.70 115.59 102.43 98.00

The cash conversion cycle of Boston Scientific Corp. has shown some fluctuation over the past eight quarters. The cycle measures the time it takes for the company to convert its investments in inventory and other resources into cash inflows from sales.

In Q4 2023, the cash conversion cycle increased to 186.64 days compared to the previous quarter, indicating that the company took longer to convert its resources into cash. This may suggest potential issues with managing inventory, accounts receivable, or accounts payable during this period.

However, the cycle has generally shown a positive trend over the past two years, with fluctuations in the range of 146.13 to 186.64 days. This indicates that Boston Scientific Corp. has been efficient in managing its working capital and converting investments into cash during most quarters.

It is important for the company to closely monitor its cash conversion cycle and strive to keep it at optimal levels to ensure efficient use of resources and maintain healthy cash flows. Any significant deviations from the trend should be investigated to identify underlying reasons and take appropriate actions to improve cash conversion efficiency.