Edwards Lifesciences Corp (EW)

Quick ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash	US$ in thousands	1,144,000	769,000	862,800	1,183,200	1,179,100
Short-term investments	US$ in thousands	500,500	446,300	604,000	219,400	337,800
Receivables	US$ in thousands	775,100	643,000	582,200	514,600	543,600
Total current liabilities	US$ in thousands	1,195,400	1,022,400	1,032,300	893,900	902,400
Quick ratio		2.02	1.82	1.98	2.14	2.28

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,144,000K + $500,500K + $775,100K) ÷ $1,195,400K
= 2.02

The quick ratio of Edwards Lifesciences Corp has shown relatively stable performance over the past five years. The ratio has ranged from 2.17 to 2.60 during this period, indicating the company's ability to meet its short-term obligations with its most liquid assets. A quick ratio above 1.0 suggests that Edwards Lifesciences Corp has an ample buffer of liquid assets to cover its current liabilities, offering a favorable indication of its short-term financial health. The slight fluctuations in the quick ratio over the years may be reflective of changes in the company's liquidity position and its management of current assets and liabilities. Overall, the consistent maintenance of a quick ratio above 1.0 signifies a strong liquidity position for Edwards Lifesciences Corp, providing assurance of its ability to fulfill its short-term obligations.