Clear Secure Inc (YOU)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Cash | US$ in thousands | 57,900 | 38,939 | 280,107 |
| Short-term investments | US$ in thousands | 665,197 | 665,810 | 335,228 |
| Receivables | US$ in thousands | 526 | 1,169 | 5,331 |
| Total current liabilities | US$ in thousands | 552,049 | 397,473 | 264,591 |
| Quick ratio | 1.31 | 1.78 | 2.35 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($57,900K
+ $665,197K
+ $526K)
÷ $552,049K
= 1.31
The quick ratio of Clear Secure Inc has been showing a declining trend over the three years under consideration. The quick ratio decreased from 2.35 in 2021 to 1.78 in 2022 and further declined to 1.31 in 2023. This suggests that the company's ability to meet its short-term obligations using its most liquid assets has been deteriorating over the period.
A quick ratio above 1 indicates that the company has sufficient liquid assets to cover its current liabilities. However, a decreasing quick ratio may raise concerns about the company's liquidity position and its ability to quickly settle its short-term obligations.
Clear Secure Inc should closely monitor its liquidity position and take necessary steps to improve its quick ratio to ensure it can meet its short-term financial obligations effectively.
Peer comparison
Dec 31, 2023