The Ensign Group Inc (ENSG)
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 | 509,626 | 467,870 | 419,974 | 326,969 | 316,270 | 308,864 | 285,580 | 248,546 | 262,201 | 304,620 | 198,411 | 155,527 | 236,562 | 175,380 | 201,738 | 63,217 | 59,175 | 44,396 | 39,042 | 37,824 |
| Short-term investments | US$ in thousands | 17,229 | 16,433 | 20,018 | 20,101 | 15,441 | 12,233 | 8,991 | 12,093 | 13,763 | 12,844 | 10,573 | 14,623 | 13,449 | 17,577 | 16,357 | 15,021 | 17,754 | 13,026 | 8,003 | 4,037 |
| Receivables | US$ in thousands | 485,039 | 472,123 | 446,025 | 444,181 | 408,432 | 353,956 | 339,001 | 339,886 | 328,731 | 313,858 | 313,663 | 312,578 | 305,062 | 294,151 | 302,061 | 329,518 | 308,985 | 308,093 | 296,935 | 291,701 |
| Total current liabilities | US$ in thousands | 734,747 | 671,797 | 618,989 | 585,277 | 582,072 | 567,040 | 531,924 | 513,558 | 523,068 | 483,109 | 460,986 | 443,020 | 562,399 | 525,202 | 581,038 | 330,143 | 343,173 | 354,629 | 327,348 | 311,443 |
| Quick ratio | 1.38 | 1.42 | 1.43 | 1.35 | 1.27 | 1.19 | 1.19 | 1.17 | 1.16 | 1.31 | 1.13 | 1.09 | 0.99 | 0.93 | 0.90 | 1.24 | 1.12 | 1.03 | 1.05 | 1.07 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($509,626K
+ $17,229K
+ $485,039K)
÷ $734,747K
= 1.38
The quick ratio, also known as the acid-test ratio, is a financial metric used to measure a company's short-term liquidity position. It indicates a company's ability to meet its short-term financial obligations with its most liquid assets, excluding inventory.
Ensign Group Inc's quick ratio has shown a generally upward trend over the past eight quarters, which is a positive indicator of the company's liquidity position. The quick ratio has ranged from 1.23 to 1.50 during this period.
A quick ratio above 1 indicates that the company has more than enough liquid assets to cover its short-term liabilities, which is a favorable sign for creditors and investors. Ensign Group Inc's quick ratios for each quarter have consistently been above 1, reflecting a strong liquidity position.
The highest quick ratio of 1.50 was recorded in Q2 2023, indicating a peak level of liquidity during that period. On the other hand, the lowest quick ratio of 1.23 was noted in Q1 2022, suggesting a slightly lower level of liquidity compared to other quarters.
Overall, Ensign Group Inc's quick ratio performance demonstrates a stable and healthy liquidity position, which is crucial for managing short-term financial obligations effectively. Investors and stakeholders may view Ensign Group Inc positively based on its consistent ability to meet short-term liquidity needs.
Peer comparison
Dec 31, 2023