The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. It is calculated as a company's Total Current Assets excludes Total Inventories divides by its Total Current Liabilities. Utah Medical Products's quick ratio for the quarter that ended in Dec. 2023 was 20.53.
Utah Medical Products has a quick ratio of 20.53. It generally indicates good short-term financial strength.
The historical rank and industry rank for Utah Medical Products's Quick Ratio or its related term are showing as below:
UTMD'
s Quick Ratio Range Over the Past 10 Years
Min: 2.76 Med: 12.08 Max: 20.53
Current: 20.53
During the past 13 years, Utah Medical Products's highest Quick Ratio was 20.53. The lowest was 2.76. And the median was 12.08.
UTMD's Quick Ratio is ranked better than 98.27% of 867
companies
in the Medical Devices & Instruments industry
Industry Median: 2.06
vs UTMD: 20.53
Utah Medical Products Quick Ratio Historical Data
The historical data trend for Utah Medical Products's Quick Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Competitive Comparison of Utah Medical Products's Quick Ratio
For the Medical Instruments & Supplies subindustry, Utah Medical Products's Quick Ratio, along with its competitors' market caps and Quick Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Utah Medical Products's Quick Ratio Distribution in the Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Utah Medical Products's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Utah Medical Products's Quick Ratio falls into.
Utah Medical Products Quick Ratio Calculation
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.
Utah Medical Products's Quick Ratio for the fiscal year that ended in Dec. 2023 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Utah Medical Products (NAS:UTMD) Quick Ratio Explanation
The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.
In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.
The higher the quick ratio, the better the company's liquidity position.
Utah Medical Products Quick Ratio Related Terms
Thank you for viewing the detailed overview of Utah Medical Products's Quick Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Utah Medical Products (Utah Medical Products) Business Description
Utah Medical Products Inc is involved in the business of developing, manufacturing, and distributing medical devices that are mainly proprietary, disposable and for hospital use. The firm produces its products for Blood pressure monitoring, Blood collection, Electrosurgery, Gynecology, Neonatal critical care, perinatology, and Urology. The company's product portfolio includes Electrosurgical pens, Tenacula, Endoscopic bulb irrigators, Blood bag spikes. Its products are used mainly in critical care areas, labor and delivery departments of hospitals as well as outpatient clinics and physicians offices.
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