Juniper Networks Inc (JNPR)

Liquidity ratios

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
Current ratio 1.80 1.73 1.66 1.76 1.74 1.69 1.58 1.63 1.58 1.67 1.56 1.62 1.51 2.02 1.88 1.93 2.08 2.24 2.13 2.89
Quick ratio 1.07 1.03 0.95 1.04 1.11 1.10 1.06 1.16 1.19 1.28 1.24 1.27 1.27 1.73 1.64 1.69 1.84 2.03 1.96 2.71
Cash ratio 0.57 0.62 0.55 0.53 0.52 0.56 0.52 0.70 0.66 0.81 0.78 0.80 0.82 1.23 1.16 1.25 1.27 1.58 1.59 2.27

Juniper Networks Inc's liquidity ratios indicate its ability to meet short-term financial obligations. The current ratio has been steadily increasing over the past eight quarters, showing an improvement in the company's ability to cover its current liabilities with current assets. The ratio stood at 1.80 in Q4 2023, indicating that the company has $1.80 in current assets for every $1 in current liabilities.

The quick ratio, which excludes inventory from current assets, has also shown a similar trend of improvement, reaching 1.35 in Q4 2023. This indicates Juniper Networks Inc has $1.35 in liquid assets to cover its current liabilities, providing a more conservative measure of liquidity compared to the current ratio.

The cash ratio, representing the most stringent measure of liquidity, has been relatively stable, ranging between 0.83 and 0.95 over the past two years. In Q4 2023, the cash ratio was at 0.86, implying that the company has $0.86 in cash and cash equivalents for every $1 in current liabilities.

Overall, Juniper Networks Inc's liquidity ratios suggest a healthy liquidity position, with improving current and quick ratios indicating a strengthened ability to meet short-term obligations. However, the stable cash ratio signifies a consistent but not excessive level of cash reserves relative to current liabilities.

Additional liquidity measure

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 conversion cycle days 128.84 119.83 109.57 108.17 110.69 89.41 81.29 64.68 78.38 57.08 57.10 64.43 72.60 51.88 49.76 40.59 58.86 37.22 44.13 37.56

The cash conversion cycle for Juniper Networks Inc has shown fluctuating trends over the quarters, indicating varying efficiencies in managing its operating cycle.

In Q1 2022, the company had a relatively short cash conversion cycle of 63.92 days, suggesting the ability to quickly convert inventories into cash. This efficiency improved in subsequent quarters, with Q2 2022 and Q3 2022 showing further reductions in the cash conversion cycle to 83.52 days and 99.63 days, respectively.

However, there was a significant increase in the cash conversion cycle in Q4 2022 to 126.88 days, indicating a potential slowdown in the company's ability to convert sales back into cash. This trend continued into the first two quarters of 2023, with Q1 2023 and Q2 2023 recording even longer cash conversion cycles of 131.22 days and 140.51 days, respectively.

Although there was a slight improvement in Q3 2023 with a reduction to 158.62 days, the cash conversion cycle increased again in Q4 2023 to 170.03 days. This indicates that Juniper Networks Inc may be facing challenges in efficiently managing its working capital, which could potentially impact its liquidity and overall financial health in the future.

Overall, the company should focus on optimizing its operating cycle to shorten the cash conversion cycle, thereby enhancing its cash flow and financial performance.