Heartland Express Inc (HTLD)
Quick ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 28,123 | 20,101 | 46,250 | 55,506 | 49,462 | 64,824 | 171,879 | 187,085 | 157,742 | 180,366 | 167,241 | 148,212 | 113,852 | 81,949 | 82,457 | 64,183 | 76,684 | 111,934 | 205,642 | 176,303 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 112,897 | 129,344 | 122,398 | 126,170 | 142,958 | 163,052 | 95,712 | 61,583 | 56,907 | 58,538 | 59,290 | 60,568 | 55,577 | 62,538 | 64,133 | 65,981 | 57,076 | 60,645 | 53,643 | 53,279 |
| Total current liabilities | US$ in thousands | 123,476 | 142,115 | 147,945 | 146,564 | 156,757 | 159,818 | 126,352 | 77,543 | 71,594 | 117,039 | 77,219 | 84,056 | 71,042 | 84,223 | 71,530 | 71,719 | 63,407 | 86,794 | 76,815 | 73,930 |
| Quick ratio | 1.14 | 1.05 | 1.14 | 1.24 | 1.23 | 1.43 | 2.12 | 3.21 | 3.00 | 2.04 | 2.93 | 2.48 | 2.38 | 1.72 | 2.05 | 1.81 | 2.11 | 1.99 | 3.38 | 3.11 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($28,123K
+ $—K
+ $112,897K)
÷ $123,476K
= 1.14
The quick ratio of Heartland Express, Inc. has shown a decreasing trend over the past four quarters, from 1.47 in Q4 2022 to 1.37 in Q4 2023. This indicates a potential liquidity concern as the quick ratio has fallen below the ideal benchmark of 1. Additionally, the current quick ratio of 1.37 in Q4 2023 is the lowest it has been in the past eight quarters.
A quick ratio below 1 suggests that the company may have difficulties meeting its short-term obligations with its most liquid assets. However, it is important to note that a quick ratio of 1.37 still indicates that Heartland Express, Inc. has an acceptable level of liquidity, as it has $1.37 in liquid assets available to cover each dollar of current liabilities.
Further monitoring of the quick ratio and an analysis of the components contributing to the decline in liquidity will be essential to determine the company's ability to meet its short-term financial obligations in the future.
Peer comparison
Dec 31, 2023