United States Steel Corporation (X)

Liquidity ratios

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 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Current ratio 1.76 1.95 1.92 1.88 1.99 2.03 1.98 1.90 1.86 1.69 1.27 1.35 1.67 1.72 2.30 1.69 1.45 1.42 1.41 1.47
Quick ratio 0.74 0.84 0.75 0.70 1.30 1.30 1.23 1.20 1.19 1.26 0.88 0.75 1.56 1.66 1.51 0.91 0.65 0.58 0.64 0.69
Cash ratio 0.75 0.85 0.76 0.71 0.89 0.81 0.66 0.65 0.65 0.66 0.43 0.24 1.19 1.21 1.07 0.49 0.29 0.17 0.20 0.22

United States Steel Corp.'s liquidity ratios show a generally stable trend over the past eight quarters. The current ratio, which measures the company's ability to cover its short-term liabilities with its current assets, has been fluctuating between 1.76 and 2.03. This indicates that the company has a healthy level of current assets relative to its current liabilities, providing a sufficient buffer to meet its short-term obligations.

The quick ratio, a more stringent measure of liquidity that excludes inventory from current assets, has also been relatively stable, ranging from 1.22 to 1.39. This suggests that the company has an acceptable level of liquid assets to cover its short-term liabilities without relying heavily on inventory, which may not be easily converted into cash.

The cash ratio, which is the most conservative measure of liquidity focusing solely on cash and cash equivalents, has shown some variability, ranging from 0.75 to 0.98. This ratio indicates the company's ability to cover its current liabilities with its cash holdings alone, and a ratio above 1 would typically be considered optimal. However, United States Steel Corp.'s cash ratio has generally been below that threshold, implying some reliance on non-cash current assets to meet short-term obligations.

Overall, the liquidity ratios of United States Steel Corp. reflect a reasonable level of financial health and ability to meet its short-term obligations, though there may be room for improvement in terms of holding more cash or highly liquid assets to enhance its liquidity position.

See also:

United States Steel Corporation Liquidity Ratios (Quarterly Data)

Additional liquidity measure

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 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Cash conversion cycle days 47.10 51.34 54.92 52.83 77.68 108.03 125.88 122.18 110.26 107.39 112.89 116.62 87.20 87.19 83.81 96.26 78.47 87.75 94.51 96.42

The cash conversion cycle of United States Steel Corp. has shown fluctuations over the past eight quarters. In Q4 2023, the company's cash conversion cycle improved to 77.24 days from the previous quarter's 79.63 days. This represents a positive trend in the management of cash flow and working capital. It indicates that the company is able to efficiently convert its investments in raw materials and production into cash receipts from sales.

Comparing Q4 2023 to the same quarter in the previous year (Q4 2022), the cash conversion cycle was relatively stable at 76.54 days. This consistency suggests that the company has maintained a certain level of efficiency in managing its working capital over time.

Looking at the highest and lowest points over the past eight quarters, the cash conversion cycle peaked at 105.23 days in Q2 2022 and reached its lowest point at 76.54 days in Q4 2022. This variation indicates fluctuations in the company's ability to convert its inventory into sales and collect cash from customers during different periods.

Overall, the fluctuations in United States Steel Corp.'s cash conversion cycle demonstrate varying efficiency levels in managing its working capital and cash flow. The company should focus on optimizing its inventory turnover, accounts receivable collection, and accounts payable management to improve its cash conversion cycle and enhance overall financial performance.