Masimo Corporation (MASI)
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 | 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 | 567,687 | 513,360 | 408,784 | 412,861 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | 0 | 50,000 | 50,000 | 50,000 | 120,000 | 120,000 | 180,000 | 180,000 |
| Receivables | US$ in thousands | 384,100 | 383,700 | 373,700 | — | 19,100 | — | — | — | 203,175 | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 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 | 172,219 | 150,008 | 136,074 | 121,157 |
| Quick ratio | 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 | 3.99 | 4.22 | 4.33 | 4.89 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($163,000K
+ $—K
+ $384,100K)
÷ $563,800K
= 0.97
The quick ratio for Masimo Corporation has displayed significant fluctuations over the reported periods. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets.
In Dec 2023, the quick ratio stood at 0.97, indicating that the company had $0.97 in liquid assets for every $1 of current liabilities. This suggests that Masimo had a relatively strong short-term liquidity position at that time. However, this ratio decreased to 0.30 in Mar 2023, reflecting a substantial decline in liquidity.
The quick ratio improved in subsequent quarters, reaching 4.17 in Mar 2020 and peaking at 4.89 in Dec 2019. These high ratios suggest Masimo had a significant amount of liquid assets compared to current liabilities during those periods.
Overall, although the company experienced fluctuations in its quick ratio, it is essential to consider the industry norms and specific business circumstances to make a more informed assessment of Masimo Corporation's liquidity position.
Peer comparison
Dec 31, 2023