Diamondback Energy Inc (FANG)
Quick ratio
| 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 | US$ in thousands | 161,000 | 370,000 | 6,911,000 | 899,000 | 582,000 | 827,000 | 18,000 | 46,000 | 157,000 | 27,000 | 43,000 | 149,000 | 654,000 | 457,000 | 104,000 | 121,000 | 104,000 | 92,000 | 51,000 | 149,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | 119,000 | — | — | — | 10,000 | 509,000 | 518,000 | 525,000 | 533,000 | 532,000 | — | — |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 4,811,000 | 4,463,000 | 2,137,000 | 2,118,000 | 2,108,000 | 2,141,000 | 2,123,000 | 1,886,000 | 1,716,000 | 1,678,000 | 1,640,000 | 1,872,000 | 1,438,000 | 1,996,000 | 1,236,000 | 1,868,000 | 1,236,000 | 1,229,000 | 1,061,000 | 1,330,000 |
| Quick ratio | 0.03 | 0.08 | 3.23 | 0.42 | 0.28 | 0.39 | 0.01 | 0.02 | 0.16 | 0.02 | 0.03 | 0.08 | 0.46 | 0.48 | 0.50 | 0.35 | 0.52 | 0.51 | 0.05 | 0.11 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($161,000K
+ $—K
+ $—K)
÷ $4,811,000K
= 0.03
The quick ratio of Diamondback Energy Inc has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. A quick ratio below 1 indicates potential liquidity issues as current liabilities exceed current assets that can be quickly converted to cash.
From March 2020 to June 2022, the company's quick ratio ranged from a low of 0.03 to a high of 0.52. There was inconsistency in the quick ratio during this period, suggesting varying levels of liquidity. Notably, the quick ratio improved in the latter part of 2022, reaching a high of 0.42 by March 31, 2024.
However, a significant anomaly appears in the quick ratio reported on June 30, 2024, where it spiked unexpectedly to 3.23. Such an unusually high quick ratio could be due to a sudden increase in liquid assets or a decrease in current liabilities, warranting further investigation to understand the underlying reasons behind this sharp jump.
Overall, while Diamondback Energy Inc's quick ratio has exhibited fluctuations, indicating some degree of uncertainty regarding its short-term liquidity position, the company seems to have improved its ability to meet short-term obligations by the end of 2024 compared to earlier periods.
Peer comparison
Dec 31, 2024