O’Reilly Automotive Inc (ORLY)

Quick ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Cash US$ in thousands 130,245 279,132 108,583 362,113 465,640
Short-term investments US$ in thousands
Receivables US$ in thousands
Total current liabilities US$ in thousands 8,283,500 7,661,350 7,063,820 5,874,620 5,262,420
Quick ratio 0.02 0.04 0.02 0.06 0.09

December 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($130,245K + $—K + $—K) ÷ $8,283,500K
= 0.02

The quick ratio of O’Reilly Automotive Inc has displayed a declining trend over the years based on the provided data. Starting at 0.09 on December 31, 2020, the quick ratio decreased to 0.06 by December 31, 2021, indicating a reduction in the company's ability to meet its short-term obligations with its most liquid assets.

Further, the quick ratio dropped to 0.02 by December 31, 2022 and remained at this level until December 31, 2024, signaling potential liquidity challenges for the company in covering its current liabilities rapidly using its quick assets.

The decreasing trend in the quick ratio may raise concerns about O’Reilly Automotive Inc's short-term liquidity position and ability to fulfill its immediate financial obligations without relying on selling inventory or obtaining additional financing. It is essential for the company to closely monitor and potentially improve its liquidity management in order to enhance its financial health and stability.


Peer comparison

Dec 31, 2024

Company name
Symbol
Quick ratio
O’Reilly Automotive Inc
ORLY
0.02
Advance Auto Parts Inc
AAP
0.40
AutoZone Inc
AZO
0.10
MarineMax Inc
HZO
0.31

See also:

O’Reilly Automotive Inc Quick Ratio