Boston Scientific Corp (BSX)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 865,000 | 928,000 | 1,925,000 | 1,734,000 | 217,000 |
| Short-term investments | US$ in thousands | — | 2,000 | 10,000 | 414,000 | 1,000 |
| Receivables | US$ in thousands | 2,228,000 | 1,970,000 | 1,778,000 | 1,531,000 | 1,933,000 |
| Total current liabilities | US$ in thousands | 4,933,000 | 3,803,000 | 4,274,000 | 3,681,000 | 4,866,000 |
| Quick ratio | 0.63 | 0.76 | 0.87 | 1.00 | 0.44 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($865,000K
+ $—K
+ $2,228,000K)
÷ $4,933,000K
= 0.63
The quick ratio of Boston Scientific Corp. has exhibited some fluctuations over the past five years. In 2023, the quick ratio decreased to 0.79 from 0.98 in 2022, indicating a decline in the company's short-term liquidity position. This could raise concerns about the company's ability to meet its short-term obligations with its most liquid assets.
In 2021 and 2020, the quick ratio was relatively healthier at 1.10 and 1.14, respectively, suggesting that Boston Scientific Corp. had an adequate level of liquid assets to cover its current liabilities. This could indicate a better ability to manage short-term financial obligations.
In contrast, in 2019, the quick ratio was lower at 0.64, signaling potential liquidity concerns as the company may have had difficulties meeting short-term liabilities with its current liquid assets.
Overall, the trend in the quick ratio for Boston Scientific Corp. suggests some variability in its short-term liquidity position over the years, which may warrant further investigation into the company's liquidity management and operational efficiency.
Peer comparison
Dec 31, 2023