Centene Corp (CNC)

Short-term

Turnover ratios

Based on the provided data for Centene Corp, the analysis of activity ratios is as follows:

1. Inventory Turnover: The inventory turnover ratio measures how efficiently a company manages its inventory. However, the data provided shows that no specific values are available for the inventory turnover for the years 2020 to 2024. This could be due to the nature of Centene Corp's industry or business model.

2. Receivables Turnover: The receivables turnover ratio indicates how efficiently a company collects payments from its customers. Similar to the inventory turnover, there are no values provided for the receivables turnover for the years 2020 to 2024, which limits the analysis of Centene Corp's effectiveness in managing its receivables.

3. Payables Turnover: The payables turnover ratio reflects how quickly a company pays off its suppliers. Similar to the inventory and receivables turnover ratios, no specific data is available for the payables turnover for the years 2020 to 2024, making it difficult to assess how efficiently Centene Corp is managing its payables.

4. Working Capital Turnover: The working capital turnover ratio measures how effectively a company utilizes its working capital to generate revenue. The data provided indicates that the working capital turnover ratio fluctuated over the years, with values of 61.46 in 2020, 46.11 in 2021, 86.87 in 2022, 38.12 in 2023, and 43.63 in 2024. A higher ratio typically indicates more efficient utilization of working capital to generate revenue, while a lower ratio may suggest inefficiencies in managing working capital.

Overall, while the data for inventory turnover, receivables turnover, and payables turnover is not available, the fluctuation in the working capital turnover ratio for Centene Corp over the years suggests varying levels of efficiency in utilizing working capital to generate revenue. Further analysis and additional data would be needed to provide a more comprehensive assessment of Centene Corp's activity ratios.

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Average number of days

Based on the provided data for Centene Corp, the activity ratios can provide insights into the efficiency of the company's operations. Here is a detailed analysis of the activity ratios:

1. Days of Inventory on Hand (DOH):
- The DOH ratio indicates how many days it takes for Centene Corp to sell its inventory.
- The data shows that specific figures are not provided for inventory days for the years from 2020 to 2024. It is essential to have actual inventory data to calculate this ratio accurately.
- Generally, a lower DOH ratio signifies efficient inventory management as it implies faster turnover and reduced holding costs. On the other hand, a higher DOH ratio may indicate slow-moving inventory or overstocking.

2. Days of Sales Outstanding (DSO):
- The DSO ratio indicates the average number of days it takes for Centene Corp to collect payments from its customers.
- Similar to the inventory data, specific figures for sales outstanding days are not available for the years from 2020 to 2024.
- A lower DSO ratio suggests a faster collection of receivables, which can improve cash flow and liquidity. Conversely, a higher DSO ratio may indicate potential issues with credit policies or difficulties in collecting payments.

3. Number of Days of Payables:
- The number of days of payables ratio represents the average number of days it takes for Centene Corp to pay its suppliers.
- Unfortunately, the data does not provide the exact number of days for payables for the years 2020 to 2024.
- A longer period of days of payables can indicate that the company is efficiently using trade credit to manage cash flow. However, excessively extending payment terms may strain relationships with suppliers in the long run.

In summary, without the specific data points for inventory days, sales outstanding days, and payables days, a detailed analysis of Centene Corp's activity ratios and their implications on operational efficiency and cash flow management cannot be provided. To fully evaluate the company's performance in these areas, detailed financial statements and inventory turnover information would be necessary.

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Long-term

Centene Corp's long-term activity ratios show the efficiency of the company in utilizing its fixed assets and total assets to generate revenue over the years.

The fixed asset turnover ratio indicates how efficiently the company is using its fixed assets to generate sales. From 2020 to 2023, Centene Corp's fixed asset turnover ratio has fluctuated. In 2020, the ratio was 40.06, which decreased to 37.15 in 2021. However, there was a significant improvement in 2022, with the ratio reaching 59.44. Unfortunately, there is no data available for 2023 and 2024, which limits a complete understanding of the trend.

The total asset turnover ratio reflects Centene Corp's ability to generate revenue from its total assets. The company's total asset turnover ratio has remained relatively stable over the years. It was 1.62 in 2020 and 1.61 in 2021, showing a slight decrease. However, there was an improvement in 2022, with the ratio increasing to 1.88. In 2023, the ratio decreased slightly to 1.82 but improved to 1.98 in 2024.

Overall, a higher asset turnover ratio indicates better efficiency in asset utilization. Centene Corp's fixed asset turnover ratio improved significantly in 2022, while the total asset turnover ratio remained relatively stable with some fluctuations. The absence of data for 2023 and 2024 limits a detailed analysis of the trend in these years.