Pfizer Inc (PFE)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 2,853,000 | 416,000 | 1,944,000 | 1,786,000 | 1,121,000 |
| Short-term investments | US$ in thousands | 19,674,000 | 44,632,000 | 58,250,000 | 10,437,000 | 8,525,000 |
| Receivables | US$ in thousands | 11,177,000 | 10,952,000 | 11,479,000 | 7,930,000 | 8,724,000 |
| Total current liabilities | US$ in thousands | 47,794,000 | 42,138,000 | 42,671,000 | 25,920,000 | 37,304,000 |
| Quick ratio | 0.71 | 1.33 | 1.68 | 0.78 | 0.49 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($2,853,000K
+ $19,674,000K
+ $11,177,000K)
÷ $47,794,000K
= 0.71
The quick ratio of Pfizer Inc. has exhibited fluctuations over the past five years. In 2023, the quick ratio decreased to 0.69 from 1.00 in 2022, indicating a weakened ability to cover immediate liabilities with highly liquid assets. Compared to 2021 and 2020, where the quick ratio was 1.19 and 1.04 respectively, the current liquidity position seems relatively weaker. However, it is worth noting that the quick ratio has improved significantly since 2019 when it stood at 0.66, suggesting enhanced liquidity management by Pfizer in recent years. Overall, the downward trend in the quick ratio from 2022 to 2023 may raise concerns about Pfizer's short-term liquidity position and ability to meet its short-term obligations with liquid assets.
Peer comparison
Dec 31, 2023