DR Horton Inc (DHI)
Quick ratio
| 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 | US$ in thousands | 3,323,400 | 3,873,600 | 3,379,100 | 3,051,100 | 2,591,100 | 2,540,500 | 1,655,700 | 1,663,900 | 2,442,100 | 3,210,400 | 1,942,700 | 2,205,200 | 2,454,900 | 3,018,500 | 2,353,500 | 1,522,800 | 1,583,300 | 1,494,300 | 864,200 | 698,800 |
| Short-term investments | US$ in thousands | 1,749,700 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 49,500 | 69,200 | 48,300 | 34,900 | 38,000 | 60,100 | 42,600 | 30,900 | 32,200 | 51,000 | 37,800 | 27,000 | 32,600 | 44,100 | 30,200 | 23,800 | 28,100 | 40,100 | 27,300 | 83,000 |
| Quick ratio | 102.49 | 55.98 | 69.96 | 87.42 | 68.19 | 42.27 | 38.87 | 53.85 | 75.84 | 62.95 | 51.39 | 81.67 | 75.30 | 68.45 | 77.93 | 63.98 | 56.35 | 37.26 | 31.66 | 8.42 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($3,323,400K
+ $1,749,700K
+ $—K)
÷ $49,500K
= 102.49
The quick ratio of D.R. Horton Inc. has shown some fluctuation over the past eight quarters, ranging from 0.70 to 1.21. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets. A quick ratio above 1 indicates that the company has an adequate level of liquid assets to cover its short-term liabilities.
The quick ratio has generally remained above 1, indicating that D.R. Horton Inc. has been able to meet its short-term obligations using its liquid assets. The company experienced a significant increase in the quick ratio in the third quarter of 2023, reaching 1.21, which may suggest an improvement in the company's liquidity position. However, it is important to note that the quick ratio dipped below 1 in the first quarter of 2023, which may indicate a temporary strain on liquidity.
Overall, the trend in the quick ratio suggests that D.R. Horton Inc. has maintained a relatively healthy liquidity position, but periodic fluctuations should be closely monitored to ensure the company can consistently meet its short-term obligations.
Peer comparison
Dec 31, 2023