IDEX Corporation (IEX)
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 | 534,300 | 562,700 | 457,000 | 510,700 | 430,200 | 680,700 | 557,800 | 733,200 | 855,400 | 806,497 | 714,380 | 958,142 | 1,025,900 | 877,758 | 746,348 | 569,219 | 632,581 | 515,985 | 543,189 | 456,130 |
| Short-term investments | US$ in thousands | — | 24,600 | 19,100 | 3,200 | — | 38,800 | 41,800 | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 427,800 | 430,600 | 455,200 | 446,500 | 442,800 | 406,100 | 425,700 | 411,200 | 356,400 | 366,779 | 356,469 | 341,793 | 293,100 | 275,432 | 270,255 | 327,835 | 298,186 | 317,305 | 326,358 | 333,782 |
| Total current liabilities | US$ in thousands | 500,300 | 487,500 | 486,600 | 491,900 | 543,600 | 506,500 | 513,800 | 468,300 | 480,000 | 469,108 | 450,359 | 377,513 | 399,000 | 409,699 | 401,307 | 366,890 | 357,877 | 370,670 | 361,791 | 339,247 |
| Quick ratio | 1.92 | 2.09 | 1.91 | 1.95 | 1.61 | 2.22 | 2.00 | 2.44 | 2.52 | 2.50 | 2.38 | 3.44 | 3.31 | 2.81 | 2.53 | 2.45 | 2.60 | 2.25 | 2.40 | 2.33 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($534,300K
+ $—K
+ $427,800K)
÷ $500,300K
= 1.92
The quick ratio of Idex Corporation has shown some fluctuations over the past eight quarters. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets. A higher quick ratio is generally preferred as it indicates a stronger ability to cover short-term liabilities.
In Q4 2023, the quick ratio decreased to 2.05 from 2.20 in the previous quarter, Q3 2023. Despite the decrease, the ratio remains relatively strong, indicating that the company has sufficient liquid assets to meet its short-term liabilities.
Looking back over the past year, the quick ratio has shown variability, with peaks in Q2 2022 and Q3 2022 at 2.68 and 2.33, respectively. These high ratios suggest that Idex Corporation had ample liquid assets to cover its short-term obligations during those periods.
On the other hand, there was a slight dip in Q4 2022 to 1.71, which indicates a potential liquidity strain during that quarter. However, the company was able to quickly improve its quick ratio in the following quarters.
Overall, the trend in the quick ratio of Idex Corporation demonstrates a generally healthy liquidity position, with some fluctuations observed over the past eight quarters. Investors and stakeholders may find comfort in the company's ability to maintain a strong liquidity position, as indicated by consistently above 2 quick ratios in most quarters.
Peer comparison
Dec 31, 2023