Omnicell Inc (OMCL)
Solvency ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 1.71 | 1.87 | 1.96 | 1.87 | 1.89 |
Omnicell Inc has shown a strong solvency position over the past five years, as indicated by its consistently low debt-to-assets, debt-to-capital, and debt-to-equity ratios, all of which remained at 0.00 throughout the period. This implies that the company has not relied heavily on debt to finance its operations or investments, which is a positive indicator of financial stability.
Furthermore, the financial leverage ratio, which measures the extent to which a company is using debt to finance its assets, showed slight fluctuations but generally remained at moderate levels over the five-year period. The decreasing trend in the financial leverage ratio from 1.89 in 2020 to 1.71 in 2024 indicates that the company has been gradually reducing its reliance on debt to support its operations.
Overall, the consistent low debt ratios and manageable financial leverage suggest that Omnicell Inc has a solid financial foundation and is well-positioned to meet its financial obligations without facing significant solvency risks in the foreseeable future.
Coverage ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Interest coverage | 0.00 | -2.36 | -17.87 | 4.00 | 16.94 |
Omnicell Inc's interest coverage ratio has exhibited significant fluctuations over the past five years. In December 2020, the interest coverage ratio stood robust at 16.94, indicating the company's ability to comfortably meet its interest obligations. However, there was a notable decline in December 2021, with the ratio dropping to 4.00. This could suggest a potential strain on the company's ability to cover its interest expenses with its operating income.
The financial health deteriorated further in December 2022, as the interest coverage ratio plummeted to -17.87. A negative interest coverage ratio typically indicates that the company's operating income is insufficient to cover its interest expenses, raising concerns about the company's financial stability and ability to service its debt.
The situation improved slightly in December 2023, as the interest coverage ratio rose to -2.36, although it remained in negative territory. Despite this improvement, the company still faces challenges in generating enough operating income to cover its interest payments.
Moreover, in December 2024, the interest coverage ratio dropped to 0.00, suggesting that the company's operating income was just enough to cover the interest expenses. An interest coverage ratio of 0.00 raises significant red flags, indicating a precarious financial position where any downturn in operating performance could jeopardize the company's ability to meet its interest obligations.
Overall, Omnicell Inc's interest coverage ratio analysis highlights a concerning trend of deteriorating financial health and potential liquidity challenges in meeting interest payments on its debt obligations.