Schrodinger Inc (SDGR)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Cash | US$ in thousands | 155,315 | 90,474 | 120,267 | 202,296 |
| Short-term investments | US$ in thousands | 307,688 | 360,613 | 456,212 | 440,395 |
| Receivables | US$ in thousands | 65,992 | 55,953 | 31,744 | 31,423 |
| Total current liabilities | US$ in thousands | 133,673 | 108,799 | 91,211 | 73,205 |
| Quick ratio | 3.96 | 4.66 | 6.67 | 9.21 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($155,315K
+ $307,688K
+ $65,992K)
÷ $133,673K
= 3.96
The quick ratio of Schrodinger Inc has shown fluctuations over the past five years. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets. A higher quick ratio is generally seen as favorable as it indicates that the company has a strong ability to cover its current liabilities using its liquid assets.
Looking at the trend for Schrodinger Inc, the quick ratio has decreased from 9.32 in 2020 to 4.20 in 2023. This decline may raise concerns about the company's liquidity position in the most recent year. However, it is important to note that the quick ratio of 4.20 in 2023 still indicates that the company has a strong ability to cover its short-term liabilities with its liquid assets.
The quick ratio was particularly high in 2021 at 6.82, indicating a very strong liquidity position that year. The significant decrease in 2020 was followed by a gradual increase until 2022 before a notable drop in 2023. Overall, while the quick ratio has fluctuated, Schrodinger Inc has generally maintained a healthy liquidity position over the five-year period, although attention may be warranted to monitor the recent decline in the ratio.
Peer comparison
Dec 31, 2023