National Vision Holdings Inc (EYE)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 149,896 | 229,425 | 305,800 | 373,903 | 39,342 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | 86,854 | 79,892 | 55,697 | 57,989 | 44,475 |
| Total current liabilities | US$ in thousands | 397,700 | 344,264 | 343,803 | 328,680 | 273,179 |
| Quick ratio | 0.60 | 0.90 | 1.05 | 1.31 | 0.31 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($149,896K
+ $—K
+ $86,854K)
÷ $397,700K
= 0.60
The quick ratio of National Vision Holdings Inc has exhibited fluctuations over the past five years. The trend shows a decrease from 0.31 in 2019 to 0.60 in 2023. This suggests that the company's ability to meet its short-term obligations with its most liquid assets has deteriorated over this period.
Furthermore, the quick ratio was relatively high in 2020 at 1.31, indicating a stronger ability to cover short-term liabilities with quick assets. However, there was a notable decline in 2021 and 2022, with the quick ratio dropping to 1.05 and 0.90, respectively.
The company's quick ratio of 0.60 in 2023 indicates that it may face challenges in meeting its short-term obligations using its most liquid assets. This may raise concerns about the company's liquidity position and ability to manage its short-term financial obligations effectively.
Overall, the declining trend in the quick ratio of National Vision Holdings Inc suggests a potential liquidity risk that investors and stakeholders should monitor closely.
Peer comparison
Dec 31, 2023