SolarEdge Technologies Inc (SEDG)

Quick ratio

		Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019
Cash	US$ in thousands	303,904	259,498	214,229	338,468	551,122	557,744	727,849	783,112	678,329	745,534	1,002,770	530,089	526,588	524,112	685,157	827,146	1,048,110	428,372	324,072	223,901
Short-term investments	US$ in thousands	374,869	430,333	466,407	521,570	477,275	493,176	410,820	241,117	202,598	150,259	158,557	167,728	145,459	145,686	139,079	143,687	110,585	113,032	95,143	91,845
Receivables	US$ in thousands	32,297	82,297	61,480	55,418	8,125	1,291,630	1,116,780	0	785,325	669,100	676,820	527,380	416,244	343,652	271,713	275,323	183,141	181,700	235,673	382,300
Total current liabilities	US$ in thousands	903,812	566,824	658,890	893,231	876,651	897,729	900,042	889,717	694,480	612,174	568,741	525,181	405,507	399,585	397,726	436,099	382,537	405,065	389,681	436,714
Quick ratio		0.79	1.36	1.13	1.02	1.18	2.61	2.51	1.15	2.40	2.56	3.23	2.33	2.68	2.54	2.76	2.86	3.51	1.79	1.68	1.60

September 30, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($303,904K + $374,869K + $32,297K) ÷ $903,812K
= 0.79

The quick ratio of SolarEdge Technologies Inc has shown some fluctuations over the past few quarters. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets.

Looking at the trend, we observe that the quick ratio has been relatively strong, generally above 1, indicating a healthy liquidity position for most periods. The quick ratio was highest in March 2022 at 3.23, which suggests the company had a significant amount of liquid assets compared to its current liabilities at that time.

However, there are instances where the quick ratio dropped below 1, such as in September 2024 at 0.79, which may indicate a potential liquidity concern during that period. It is important for the company to closely monitor its liquidity position during such periods to ensure it can meet its short-term obligations.

Overall, SolarEdge Technologies Inc has maintained a generally healthy quick ratio over the analyzed period, indicating its ability to cover its short-term liabilities with its quick assets.