JB Hunt Transport Services Inc (JBHT)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 53,344 | 51,927 | 355,549 | 313,302 | 35,000 |
| Short-term investments | US$ in thousands | 0 | 0 | 0 | 0 | 0 |
| Receivables | US$ in thousands | 1,334,910 | 1,528,080 | 1,506,620 | 1,124,400 | 1,011,830 |
| Total current liabilities | US$ in thousands | 1,779,420 | 1,568,230 | 1,729,600 | 1,084,800 | 1,035,770 |
| Quick ratio | 0.78 | 1.01 | 1.08 | 1.33 | 1.01 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($53,344K
+ $0K
+ $1,334,910K)
÷ $1,779,420K
= 0.78
The quick ratio of J.B. Hunt Transport Services, Inc. has been fluctuating over the past five years. In 2023, the quick ratio decreased to 1.15 from 1.38 in 2022. This indicates that the company's ability to meet its short-term liabilities with its most liquid assets decreased in 2023 compared to the previous year.
Looking further back, the quick ratio was 1.32 in 2021, 1.68 in 2020, and 1.41 in 2019. The quick ratio was highest in 2020, indicating a stronger ability to cover short-term obligations with liquid assets. The decrease in the quick ratio in 2021 and further declines in 2022 and 2023 suggest a potential liquidity challenge or a change in the composition of the company's current assets.
Overall, while the quick ratio fluctuated, it remained above 1 in all years, indicating that J.B. Hunt Transport Services, Inc. typically had sufficient liquid assets to cover its short-term liabilities. However, the declining trend in recent years may warrant further investigation into the company's liquidity management and working capital efficiency.
Peer comparison
Dec 31, 2023