United Therapeutics Corporation (UTHR)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 1,207,700 | 961,200 | 894,800 | 738,700 | 738,400 |
| Short-term investments | US$ in thousands | 1,801,300 | 1,908,200 | 1,035,900 | 1,096,300 | 747,500 |
| Total current liabilities | US$ in thousands | 804,400 | 343,200 | 305,400 | 323,300 | 463,000 |
| Cash ratio | 3.74 | 8.36 | 6.32 | 5.68 | 3.21 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,207,700K
+ $1,801,300K)
÷ $804,400K
= 3.74
The cash ratio of United Therapeutics Corp has fluctuated over the past five years, ranging from 3.50 in 2019 to 8.91 in 2022. The trend indicates that the company's liquidity position has generally been strong, with the ability to cover its short-term liabilities with a significant portion of cash on hand. However, there was a notable decrease in the cash ratio in 2023 to 3.93, which may suggest a lower level of liquidity compared to the previous year. It is essential for investors and stakeholders to monitor this ratio closely to assess the company's ability to meet its financial obligations in the short term.
Peer comparison
Dec 31, 2023