Molina Healthcare Inc (MOH)
Cash 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 and cash equivalents | US$ in thousands | 4,662,000 | 4,732,000 | 4,354,000 | 4,513,000 | 4,848,000 | 5,565,000 | 4,910,000 | 4,554,000 | 4,006,000 | 4,242,000 | 4,312,000 | 4,804,000 | 4,438,000 | 4,357,000 | 4,608,000 | 4,431,000 | 4,154,000 | 3,196,000 | 3,303,000 | 2,365,000 |
| Short-term investments | US$ in thousands | 4,325,000 | 4,482,000 | 4,347,000 | 4,424,000 | 4,259,000 | 4,111,000 | 3,886,000 | 3,810,000 | 3,499,000 | 3,639,000 | 3,567,000 | 2,988,000 | 3,202,000 | 2,900,000 | 2,241,000 | 1,938,000 | 1,875,000 | 1,769,000 | 1,906,000 | 2,010,000 |
| Total current liabilities | US$ in thousands | 7,896,000 | 8,337,000 | 7,836,000 | 8,514,000 | 8,168,000 | 8,492,000 | 7,537,000 | 7,614,000 | 6,855,000 | 7,242,000 | 7,225,000 | 7,041,000 | 7,047,000 | 6,070,000 | 5,707,000 | 5,323,000 | 4,965,000 | 3,556,000 | 3,755,000 | 3,570,000 |
| Cash ratio | 1.14 | 1.11 | 1.11 | 1.05 | 1.11 | 1.14 | 1.17 | 1.10 | 1.09 | 1.09 | 1.09 | 1.11 | 1.08 | 1.20 | 1.20 | 1.20 | 1.21 | 1.40 | 1.39 | 1.23 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($4,662,000K
+ $4,325,000K)
÷ $7,896,000K
= 1.14
The cash ratio of Molina Healthcare Inc has been relatively stable over the period from March 31, 2020, to December 31, 2024, ranging between 1.05 to 1.40. The cash ratio measures the company's ability to cover its short-term liabilities with its available cash and cash equivalents. A higher cash ratio indicates a greater ability to cover short-term obligations using cash on hand.
Throughout the period, Molina Healthcare Inc has generally maintained a healthy cash ratio above 1.00, which suggests that the company has enough liquid assets to meet its immediate financial obligations without having to rely heavily on borrowing or selling other investments. However, it is worth noting that there was a slight decline in the cash ratio towards the end of the period, reaching 1.05 as of March 31, 2024, before recovering slightly in the subsequent quarters.
Overall, the relatively stable cash ratio of Molina Healthcare Inc indicates that the company has been managing its liquidity well and maintaining a prudent level of cash reserves to meet its short-term financial commitments. Investors and analysts may view this positively as it suggests a healthy financial position and a lower risk of liquidity issues for the company.
Peer comparison
Dec 31, 2024