Catalyst Pharmaceuticals Inc (CPRX)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 517,553 | 137,636 | 298,395 | 171,445 | 130,237 |
| Short-term investments | US$ in thousands | — | — | 0 | 19,821 | 10,041 |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 120,678 | 76,063 | 57,588 | 27,063 | 22,756 |
| Quick ratio | 4.29 | 1.81 | 5.18 | 7.07 | 6.16 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($517,553K
+ $—K
+ $—K)
÷ $120,678K
= 4.29
The quick ratio for Catalyst Pharmaceuticals Inc has exhibited a generally positive trend from 2020 to 2022, indicating the company's ability to meet its short-term obligations with its most liquid assets. The ratio increased from 6.16 in December 2020 to 7.07 in December 2021, suggesting an improvement in liquidity. However, there was a slight drop in the quick ratio to 5.18 in December 2022.
In December 2023, there was a significant decrease in the quick ratio to 1.81, which may raise concerns about the company's short-term liquidity position. It indicates that Catalyst Pharmaceuticals Inc may have difficulty meeting its immediate financial obligations using only its most liquid assets.
By December 2024, there was a partial recovery in the quick ratio to 4.29, although it remained below the levels observed in 2021 and 2022.
Overall, while the quick ratio for Catalyst Pharmaceuticals Inc fluctuates over the years, it is essential for the company to closely monitor and manage its liquidity position to ensure it can efficiently address its short-term financial commitments.
Peer comparison
Dec 31, 2024