Insperity Inc (NSP)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 1,039,000 | 693,000 | 733,000 | 575,812 | 554,846 |
| Short-term investments | US$ in thousands | 133,000 | 135,000 | 90,031 | 120,742 | 82,521 |
| Receivables | US$ in thousands | 829,000 | 694,000 | 622,764 | 513,306 | 392,746 |
| Total current liabilities | US$ in thousands | 1,930,000 | 1,436,000 | 1,353,370 | 1,128,570 | 904,924 |
| Quick ratio | 1.04 | 1.06 | 1.07 | 1.07 | 1.14 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,039,000K
+ $133,000K
+ $829,000K)
÷ $1,930,000K
= 1.04
Insperity Inc's quick ratio has shown a slight decrease from 1.14 as of December 31, 2020, to 1.04 as of December 31, 2024. The quick ratio measures the company's ability to meet its short-term liabilities with its most liquid assets. A quick ratio above 1 indicates that the company has an adequate level of liquid assets to cover its current liabilities.
While Insperity Inc's quick ratio has declined over the years, it still remains above 1, suggesting that the company has a relatively healthy liquidity position. However, management may want to monitor this ratio closely to ensure that the company can continue to meet its short-term obligations without any liquidity constraints.
Peer comparison
Dec 31, 2024