Masimo Corporation (MASI)
Quick ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 177,600 | 158,500 | 129,600 | 157,600 | 163,000 | 124,400 | 150,700 | 174,100 | 202,900 | 219,500 | 218,000 | 720,000 | 745,300 | 652,300 | 576,000 | 551,992 | 641,400 | 669,056 | 631,881 | 605,916 |
| Short-term investments | US$ in thousands | 177,600 | -90,600 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 0 | 50,000 | 50,000 | 50,000 |
| Receivables | US$ in thousands | 19,600 | 411,100 | 370,100 | 364,100 | 384,100 | 383,700 | 373,700 | — | 19,100 | — | — | — | 203,175 | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 617,700 | 637,600 | 546,200 | 504,200 | 563,800 | 578,800 | 571,900 | 583,200 | 630,000 | 587,300 | 552,000 | 254,311 | 267,700 | 228,254 | 220,029 | 196,872 | 233,836 | 232,752 | 227,556 | 157,292 |
| Quick ratio | 0.61 | 0.75 | 0.91 | 1.03 | 0.97 | 0.88 | 0.92 | 0.30 | 0.35 | 0.37 | 0.39 | 2.83 | 3.54 | 2.86 | 2.62 | 2.80 | 2.74 | 3.09 | 3.00 | 4.17 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($177,600K
+ $177,600K
+ $19,600K)
÷ $617,700K
= 0.61
The quick ratio of Masimo Corporation has shown fluctuations over the reporting periods, indicating variations in the company's ability to meet its short-term obligations using its liquid assets.
The quick ratio was relatively high, ranging from 2.62 to 4.17 in the early periods of the data provided (until June 30, 2021), suggesting a strong liquidity position. However, there was a noticeable decline in the quick ratio in the subsequent periods, dropping to as low as 0.30 by March 31, 2023. This significant decrease may raise concerns about the company's liquidity and its ability to cover immediate liabilities without relying on the sale of inventory.
Subsequently, the quick ratio showed some improvement but remained relatively low, hovering between 0.61 and 1.03 in the most recent periods. These levels may indicate that Masimo Corporation has a reduced capacity to settle its short-term obligations with its quick assets.
Overall, the decreasing trend in the quick ratio over the analyzed periods suggests a potential liquidity challenge for Masimo Corporation, emphasizing the importance of monitoring its ability to meet short-term obligations efficiently.
Peer comparison
Dec 31, 2024