Penumbra Inc (PEN)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 167,486 | 69,858 | 59,379 | 69,670 | 72,779 |
| Short-term investments | US$ in thousands | 121,701 | 118,172 | 195,496 | 195,162 | 116,610 |
| Receivables | US$ in thousands | 201,768 | 203,384 | 133,940 | 114,608 | 105,901 |
| Total current liabilities | US$ in thousands | 151,144 | 144,932 | 123,197 | 105,932 | 91,048 |
| Quick ratio | 3.25 | 2.70 | 3.16 | 3.58 | 3.24 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($167,486K
+ $121,701K
+ $201,768K)
÷ $151,144K
= 3.25
The quick ratio of Penumbra Inc has displayed consistency and strength over the past five years. The ratio has been above 1 in every year, indicating that the company has more than enough liquid assets to cover its current liabilities without relying on inventory.
In particular, the quick ratio has improved steadily from 2019 to 2020, reaching a peak of 3.76 in 2020 before slightly declining in the subsequent years. This suggests that Penumbra Inc has been effectively managing its short-term liquidity and has maintained a robust ability to meet its immediate financial obligations using its liquid assets.
Overall, the trend in Penumbra Inc's quick ratio indicates a healthy financial position with a strong ability to meet short-term liabilities, which could provide investors and stakeholders with confidence in the company's financial stability.
Peer comparison
Dec 31, 2023