Ulta Beauty Inc (ULTA)

Quick ratio

		Feb 3, 2024	Oct 28, 2023	Jul 29, 2023	Apr 29, 2023	Jan 28, 2023	Oct 29, 2022	Jul 30, 2022	Apr 30, 2022	Jan 29, 2022	Oct 30, 2021	Jul 31, 2021	May 1, 2021	Jan 30, 2021	Oct 31, 2020	Aug 1, 2020	May 2, 2020	Feb 1, 2020	Nov 2, 2019	Aug 3, 2019	May 4, 2019
Cash	US$ in thousands	766,594	121,811	388,627	636,449	737,877	250,628	434,226	654,486	431,560	605,053	770,144	947,456	1,046,050	560,902	1,157,320	1,043,540	392,325	208,843	177,398	326,831
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	0	0	—	—	110,000	110,000	0	150,000	195,000
Receivables	US$ in thousands	207,939	202,868	174,444	190,282	199,422	200,304	180,514	192,754	233,682	169,212	154,416	154,342	193,109	136,271	127,992	88,691	139,337	112,888	107,263	110,046
Total current liabilities	US$ in thousands	1,658,190	1,836,940	1,491,170	1,633,900	1,681,780	1,697,770	1,502,050	1,599,750	1,558,010	1,624,120	1,381,530	1,522,760	1,343,710	1,230,340	1,061,330	1,096,180	1,137,260	1,256,920	1,064,930	1,045,600
Quick ratio		0.59	0.18	0.38	0.51	0.56	0.27	0.41	0.53	0.43	0.48	0.67	0.72	0.92	0.57	1.21	1.13	0.56	0.26	0.41	0.60

February 3, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($766,594K + $—K + $207,939K) ÷ $1,658,190K
= 0.59

The quick ratio of Ulta Beauty Inc has displayed some fluctuations over the past several quarters. The quick ratio measures the company's ability to meet its short-term liabilities with its most liquid assets. A quick ratio below 1 indicates that the company may have difficulty meeting its short-term obligations.

Looking at the data provided, the quick ratio for Ulta Beauty Inc ranged from a low of 0.18 to a high of 1.21 in the most recent quarters. The quick ratio was significantly below 1 in several quarters, such as Oct 28, 2023, Jul 30, 2022, Oct 31, 2020, and May 4, 2019, indicating potential liquidity challenges during those periods.

However, there were also quarters where the quick ratio improved and exceeded 1, such as May 2, 2020, Aug 1, 2020, Jan 30, 2021, and Jul 31, 2021. This suggests improved liquidity and the company's ability to cover its short-term liabilities more comfortably in those periods.

Overall, the trend in Ulta Beauty Inc's quick ratio shows variability, indicating fluctuations in the company's ability to meet short-term obligations with its liquid assets. It is important for investors and analysts to closely monitor these ratios to assess the company's liquidity position and financial health.