HealthEquity Inc (HQY)
Quick ratio
| Jan 31, 2025 | Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 295,948 | 403,979 | 254,266 | 225,414 | 328,803 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | 118,006 | 104,893 | 96,835 | 87,428 | 72,767 |
| Total current liabilities | US$ in thousands | 156,323 | 117,091 | 131,061 | 153,187 | 204,701 |
| Quick ratio | 2.65 | 4.35 | 2.68 | 2.04 | 1.96 |
January 31, 2025 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($295,948K
+ $—K
+ $118,006K)
÷ $156,323K
= 2.65
The quick ratio of HealthEquity Inc has shown a generally increasing trend over the past five years, indicating a strengthening liquidity position. The quick ratio was 1.96 as of January 31, 2021, and has since improved to 2.65 as of January 31, 2025. This suggests that HealthEquity Inc has a sufficient level of liquid assets to cover its current liabilities.
Of particular note is the sharp increase in the quick ratio from 2023 to 2024, jumping from 2.68 to 4.35. This significant surge indicates a substantial improvement in the company's ability to meet its short-term obligations with its readily available liquid assets.
Overall, the quick ratio provides insights into HealthEquity Inc's liquidity management and its ability to efficiently meet its short-term financial commitments. The increasing trend in the quick ratio suggests a positive liquidity position for the company, providing a buffer against any unexpected financial challenges.
Peer comparison
Jan 31, 2025