Greenbrier Companies Inc (GBX)
Quick ratio
| Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | May 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 252,000 | 307,300 | 281,700 | 321,400 | 379,900 | 263,300 | 543,000 | 449,700 | 586,800 | 410,800 | 646,800 | 628,200 | 593,500 | 724,600 | 833,800 | 735,258 | 169,899 | 253,602 | 329,684 | 359,625 |
| Short-term investments | US$ in thousands | — | — | 34,900 | 25,900 | 83 | 94 | 93 | 96,200 | 46,900 | 83,100 | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 20,900 | 10,500 | 42,200 | 29,800 | 22,400 | 28,900 | 39,800 | 129,400 | 106,000 | 106,200 | 112,135 | 75,135 | 62,103 | — | 9,109 | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 585,100 | 962,500 | 789,700 | 1,021,600 | 1,032,900 | 967,000 | 1,021,700 | 900,600 | 873,400 | 1,056,700 | 899,413 | 761,206 | 724,410 | 710,386 | 463,880 | 905,504 | 537,094 | 518,894 | 595,475 | 499,058 |
| Quick ratio | 0.47 | 0.33 | 0.45 | 0.37 | 0.39 | 0.30 | 0.57 | 0.75 | 0.85 | 0.57 | 0.84 | 0.92 | 0.91 | 1.02 | 1.82 | 0.81 | 0.32 | 0.49 | 0.55 | 0.72 |
February 29, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($252,000K
+ $—K
+ $20,900K)
÷ $585,100K
= 0.47
The quick ratio of Greenbrier Companies Inc has shown fluctuations over the past few quarters. The ratio, which measures the company's ability to meet its short-term obligations with its most liquid assets, was 0.47 as of February 29, 2024, reflecting an increase from the previous quarter. However, it is important to note that the quick ratio has been below 1 in several recent periods, indicating a potential liquidity risk as the company may have difficulty covering its current liabilities with its most liquid assets alone.
The trend in the quick ratio indicates that Greenbrier Companies Inc may have faced challenges in maintaining sufficient liquidity to meet its short-term obligations, especially in the periods where the ratio was below 1. A ratio below 1 suggests that the company may be relying more heavily on its less liquid assets to cover its short-term liabilities, which could pose a risk if the company faces unexpected financial difficulties or a liquidity crunch.
It is essential for stakeholders to closely monitor the company's liquidity position and management's efforts to improve the quick ratio over time. A sustained improvement in the quick ratio towards a level above 1 would indicate a stronger liquidity position and better ability to meet short-term obligations without relying on less liquid assets.
Peer comparison
Feb 29, 2024