Molina Healthcare Inc (MOH)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 12,542,000 | 10,084,000 | 10,064,000 | 7,876,000 | 5,967,000 |
| Total current liabilities | US$ in thousands | 8,168,000 | 6,855,000 | 7,047,000 | 4,965,000 | 3,269,000 |
| Current ratio | 1.54 | 1.47 | 1.43 | 1.59 | 1.83 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $12,542,000K ÷ $8,168,000K
= 1.54
The current ratio of Molina Healthcare Inc has shown a decreasing trend over the past five years, from 1.83 in 2019 to 1.54 in 2023. This indicates that the company's current assets may be becoming less sufficient to cover its current liabilities over time.
Although the current ratio has fluctuated slightly between 1.43 and 1.59 over the years, it generally remains above 1, implying that the company has had an adequate level of current assets to meet its short-term obligations. However, investors and creditors may view a declining current ratio as a concern, as it may signal potential liquidity challenges in the future.
It is important for Molina Healthcare Inc to monitor and manage its current assets and liabilities effectively to ensure a healthy current ratio and maintain financial stability.
Peer comparison
Dec 31, 2023