MGM Resorts International (MGM)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 2,927,830 | 5,911,890 | 4,703,060 | 5,101,640 | 2,329,600 |
| Short-term investments | US$ in thousands | — | — | 66,000 | 1,447,040 | — |
| Receivables | US$ in thousands | 1,070,580 | 925,165 | 857,777 | 559,917 | 1,374,880 |
| Total current liabilities | US$ in thousands | 3,126,070 | 4,515,890 | 3,442,260 | 1,856,580 | 3,191,420 |
| Quick ratio | 1.28 | 1.51 | 1.63 | 3.83 | 1.16 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($2,927,830K
+ $—K
+ $1,070,580K)
÷ $3,126,070K
= 1.28
The quick ratio of MGM Resorts International has exhibited variability over the past five years. The trend shows a decrease from 3.16 in 2020 to 1.22 in 2019, followed by an increasing pattern to 1.69 in 2021. However, the ratio dropped slightly to 1.64 in 2022 and further to 1.53 in 2023.
A quick ratio above 1 indicates that the company has an adequate amount of liquid assets to cover its current liabilities. Despite the fluctuations, MGM Resorts International has generally maintained a quick ratio above 1 in the recent years, suggesting a reasonable ability to meet its short-term obligations with its liquid assets.
It is essential to monitor the trend closely to ensure the company's liquidity position remains stable and that it can continue to meet its financial obligations efficiently.
Peer comparison
Dec 31, 2023