Teledyne Technologies Incorporated (TDY)

Quick ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash	US$ in thousands	648,300	638,100	474,700	673,100	199,500
Short-term investments	US$ in thousands	—	700	—	—	200
Receivables	US$ in thousands	1,202,100	1,158,400	1,083,800	624,100	190,300
Total current liabilities	US$ in thousands	1,766,100	1,523,400	1,498,400	760,900	763,200
Quick ratio		1.05	1.18	1.04	1.70	0.51

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($648,300K + $—K + $1,202,100K) ÷ $1,766,100K
= 1.05

The quick ratio of Teledyne Technologies Inc has fluctuated over the past five years, ranging from 1.12 to 1.81. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets excluding inventory. A quick ratio above 1 indicates that the company has enough liquid assets to cover its current liabilities.

Teledyne's quick ratio has generally been above 1 over the five-year period, suggesting that the company has had a comfortable liquidity position to meet its short-term obligations. The ratio was highest in January 2021 at 1.81, indicating a strong ability to cover short-term liabilities without relying on inventory.

However, the quick ratio decreased to 1.12 in January 2022, indicating a potential decline in liquidity compared to the previous year. It then improved to 1.27 in January 2023 before further increasing to 1.17 in December 2023.

Overall, the trend in Teledyne's quick ratio shows some variability, but the company has generally maintained a healthy liquidity position over the five-year period. The management should continue to monitor and manage liquidity effectively to ensure the company's ability to meet its short-term obligations remains strong.