HF Sinclair Corp (DINO)

Liquidity ratios

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Current ratio 2.17 1.81 2.12 2.17 2.22 2.13 2.32 2.10 2.08 2.11 1.89 1.73 1.82 2.13 2.06 2.11 2.41 2.68 2.10 1.92
Quick ratio 0.35 0.41 0.31 0.43 0.49 0.64 0.56 0.44 0.51 0.45 0.42 0.16 0.11 0.72 0.69 0.68 1.00 1.23 0.68 0.69
Cash ratio 0.35 0.41 0.31 0.43 0.49 0.64 0.56 0.44 0.51 0.45 0.42 0.16 0.11 0.72 0.69 0.68 1.00 1.23 0.68 0.69

Based on the provided data, we can analyze the liquidity ratios of HF Sinclair Corp as follows:

1. Current Ratio: The current ratio measures the company's ability to meet its short-term obligations with its current assets. HF Sinclair Corp's current ratio has shown some fluctuations over the years, ranging from a low of 1.73 on March 31, 2022, to a high of 2.68 on September 30, 2020. The current ratio as of December 31, 2024, stands at 2.17, indicating that the company has $2.17 in current assets for every $1 in current liabilities.

2. Quick Ratio: The quick ratio, also known as the acid-test ratio, provides a more stringent measure of liquidity as it excludes inventory from current assets. HF Sinclair Corp's quick ratio has also varied over the years, with a low of 0.11 on December 31, 2021, and a high of 1.23 on September 30, 2020. As of December 31, 2024, the quick ratio is 0.35, suggesting that the company has $0.35 in liquid assets available to cover each $1 in current liabilities.

3. Cash Ratio: The cash ratio is the most conservative liquidity ratio, focusing solely on cash and cash equivalents to cover current liabilities. HF Sinclair Corp's cash ratio has experienced fluctuations similar to the quick ratio, with a low of 0.11 on December 31, 2021, and a high of 1.23 on September 30, 2020. The cash ratio as of December 31, 2024, is 0.35, indicating that the company has $0.35 in cash and cash equivalents for every $1 in current liabilities.

Overall, the current, quick, and cash ratios of HF Sinclair Corp provide insights into the company's liquidity position, showing its ability to meet short-term obligations. While there have been fluctuations in these ratios over the years, the company has generally maintained a healthy liquidity position, with adequate current assets to cover current liabilities.

Additional liquidity measure

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Cash conversion cycle days 38.47 35.59 41.08 42.34 39.76 41.93 41.37 40.51 37.38 43.14 54.10 61.67 49.15 52.40 53.32 63.82 43.89 37.59 35.19 23.57

HF Sinclair Corp's cash conversion cycle has shown fluctuations over the period analyzed. The company's cash conversion cycle measures the time it takes for the company to convert its investments in inventory and accounts receivable into cash received from sales.

Analyzing the data provided, we can see that the cash conversion cycle ranged from a low of 23.57 days on March 31, 2020, to a high of 63.82 days on March 31, 2021. This indicates that the company took longer to convert its investments into cash during the first quarter of 2021 compared to other periods.

Subsequently, the cash conversion cycle improved, reaching a low of 35.59 days on September 30, 2024. This suggests that the company became more efficient in managing its working capital during this period.

Overall, monitoring the cash conversion cycle is essential as it can provide insight into a company's liquidity, operational efficiency, and financial health. Fluctuations in the cycle may indicate changes in the company's ability to manage its cash flows effectively and efficiently.