Analysis of Liquidity Ratios
Quarterly Data
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Vertex Pharmaceuticals Inc., liquidity ratios (quarterly data)
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
The analysis of the liquidity ratios over the observed periods reveals a notable declining trend across all measured indicators: current ratio, quick ratio, and cash ratio. Each ratio starts at comparatively high levels in early 2021, indicating a strong short-term liquidity position initially, but gradually decreases towards mid-2025, reflecting a reduction in liquid assets relative to current liabilities.
- Current Ratio
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The current ratio exhibits a general downtrend from 4.39 in March 2021, peaking slightly above 4.8 during late 2022, to approximately 2.5 by the middle of 2025. This decreasing trajectory suggests a weakening ability to cover short-term obligations with current assets over time, though it remains above the critical threshold of 1.0, which typically indicates short-term solvency.
- Quick Ratio
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The quick ratio, which excludes inventories and thus provides a more stringent test of liquidity, mirrors the pattern observed in the current ratio. It starts at a strong 4.06 and peaks around 4.46 in late 2022 before declining more sharply to about 2.0 by mid-2025. This decline may imply a reduction in highly liquid assets or an increase in short-term liabilities relative to such assets.
- Cash Ratio
-
The cash ratio, representing the most conservative liquidity measure by considering only cash and cash equivalents, follows the same general decline from 3.56 at the outset of 2021 to approximately 1.54 in mid-2025. The sharper decrease relative to the other ratios could indicate growing reliance on less liquid current assets or a reduction in cash reserves over time.
Overall, the data indicates a significant reduction in liquidity buffers throughout the period analyzed. Although liquidity remains relatively strong by conventional standards even at the lower end of the range, the downward trend across all three ratios may warrant attention to working capital management and cash flow strategies to ensure liquidity adequacy moving forward.
Current Ratio
Vertex Pharmaceuticals Inc., current ratio calculation (quarterly data)
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||
| Current assets | 10,427,900) | 10,008,800) | 9,596,400) | 9,804,100) | 8,941,600) | 13,288,700) | 14,144,200) | 14,695,800) | 13,872,900) | 12,965,700) | 13,234,800) | 12,271,000) | 11,503,500) | 10,361,300) | 9,560,600) | 8,852,540) | 8,457,514) | 8,539,307) | ||||||
| Current liabilities | 4,138,400) | 3,783,200) | 3,564,600) | 3,973,100) | 3,547,200) | 3,795,900) | 3,547,400) | 3,599,400) | 3,352,100) | 3,026,200) | 2,742,100) | 2,609,300) | 2,556,200) | 2,180,200) | 2,142,000) | 1,914,264) | 1,836,448) | 1,944,050) | ||||||
| Liquidity Ratio | ||||||||||||||||||||||||
| Current ratio1 | 2.52 | 2.65 | 2.69 | 2.47 | 2.52 | 3.50 | 3.99 | 4.08 | 4.14 | 4.28 | 4.83 | 4.70 | 4.50 | 4.75 | 4.46 | 4.62 | 4.61 | 4.39 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Current Ratio, Competitors2 | ||||||||||||||||||||||||
| AbbVie Inc. | 0.74 | 0.76 | 0.66 | 0.65 | 0.81 | 0.94 | 0.87 | 0.96 | 0.89 | 0.96 | 0.96 | 0.93 | 0.84 | 0.82 | 0.79 | 1.01 | 0.91 | 0.83 | ||||||
| Amgen Inc. | 1.31 | 1.17 | 1.26 | 1.32 | 1.26 | 1.42 | 1.65 | 2.86 | 2.77 | 3.14 | 1.41 | 1.68 | 1.53 | 1.44 | 1.59 | 1.64 | 1.31 | 1.66 | ||||||
| Bristol-Myers Squibb Co. | 1.21 | 1.28 | 1.25 | 1.24 | 1.16 | 1.11 | 1.43 | 1.18 | 1.39 | 1.42 | 1.25 | 1.42 | 1.44 | 1.32 | 1.52 | 1.47 | 1.54 | 1.56 | ||||||
| Danaher Corp. | 1.62 | 1.43 | 1.40 | 1.37 | 1.43 | 1.85 | 1.68 | 2.26 | 2.08 | 1.89 | 1.89 | 1.78 | 1.75 | 1.68 | 1.43 | 1.48 | 2.26 | 2.05 | ||||||
| Eli Lilly & Co. | 1.28 | 1.37 | 1.15 | 1.27 | 1.11 | 1.35 | 0.94 | 1.05 | 1.13 | 1.30 | 1.05 | 1.13 | 1.10 | 1.27 | 1.23 | 1.30 | 1.15 | 1.42 | ||||||
| Gilead Sciences Inc. | 1.32 | 1.37 | 1.60 | 1.26 | 1.14 | 1.08 | 1.43 | 1.34 | 1.02 | 1.28 | 1.29 | 1.30 | 1.43 | 1.48 | 1.27 | 1.37 | 1.36 | 1.37 | ||||||
| Johnson & Johnson | 1.01 | 1.26 | 1.11 | 1.03 | 1.07 | 1.17 | 1.16 | 1.21 | 1.12 | 1.07 | 0.99 | 1.43 | 1.42 | 1.39 | 1.35 | 1.34 | 1.39 | 1.28 | ||||||
| Merck & Co. Inc. | 1.42 | 1.41 | 1.36 | 1.36 | 1.47 | 1.25 | 1.25 | 1.38 | 1.28 | 1.44 | 1.47 | 1.46 | 1.39 | 1.40 | 1.27 | 1.31 | 1.31 | 1.02 | ||||||
| Pfizer Inc. | 1.16 | 1.26 | 1.17 | 1.00 | 0.86 | 1.05 | 0.91 | 2.38 | 2.12 | 1.37 | 1.22 | 1.59 | 1.42 | 1.39 | 1.40 | 1.39 | 1.37 | 1.48 | ||||||
| Regeneron Pharmaceuticals Inc. | 4.60 | 4.93 | 4.73 | 5.28 | 5.44 | 5.27 | 5.69 | 5.18 | 5.45 | 5.45 | 5.06 | 5.36 | 5.12 | 4.76 | 3.56 | 3.71 | 3.57 | 3.12 | ||||||
| Thermo Fisher Scientific Inc. | 1.93 | 1.77 | 1.66 | 1.63 | 1.72 | 1.70 | 1.75 | 1.63 | 1.42 | 1.27 | 1.48 | 1.74 | 1.65 | 1.56 | 1.50 | 3.19 | 2.78 | 2.53 | ||||||
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q2 2025 Calculation
Current ratio = Current assets ÷ Current liabilities
= 10,427,900 ÷ 4,138,400 = 2.52
2 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals notable trends in the liquidity position of the company over the reported periods.
- Current Assets
- The current assets exhibit a generally increasing trend from March 31, 2021, through December 31, 2023, peaking at approximately 14,695,800 thousand US dollars. This upward movement suggests improved asset liquidity available to meet short-term obligations during this period. However, following this peak, there is a significant decline observed from December 31, 2023, through June 30, 2024, where current assets drop sharply to 8,941,600 thousand US dollars, representing a notable reduction. Subsequently, current assets recover slightly but remain below the earlier high levels, stabilizing in the range of approximately 9,800,000 to 10,400,000 thousand US dollars through June 30, 2025.
- Current Liabilities
- Current liabilities demonstrate a steady and consistent increase throughout the entire period. Starting from 1,944,050 thousand US dollars in March 31, 2021, these obligations almost double by the end of the period, reaching 4,138,400 thousand US dollars as of June 30, 2025. The gradual increase in liabilities indicates growing short-term financial commitments that need to be managed effectively.
- Current Ratio
- The current ratio remains quite strong and above 4.0 during the initial quarters, fluctuating between 4.08 and 4.83 from March 2021 through December 2023, indicating a comfortable liquidity buffer. However, beginning in March 2024, this ratio experiences a marked decline, dropping significantly to 3.5 and then further plummeting to approximately 2.47 by June 2024. In the subsequent quarters, it stabilizes somewhat around 2.5 to 2.7, which while still above the critical threshold of 1, reflects a notable contraction in liquidity relative to prior periods. This decline in current ratio aligns with the reduction in current assets and the rise in current liabilities, suggesting increased pressure on the company’s short-term financial health.
Quick Ratio
Vertex Pharmaceuticals Inc., quick ratio calculation (quarterly data)
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||
| Cash and cash equivalents | 4,972,200) | 4,674,700) | 4,569,600) | 5,239,200) | 4,580,100) | 9,158,000) | 10,369,100) | 11,110,200) | 10,151,100) | 9,289,900) | 10,504,000) | 9,171,500) | 8,702,200) | 7,600,100) | 6,795,000) | 6,275,698) | 6,063,678) | 6,304,330) | ||||||
| Marketable securities | 1,410,600) | 1,526,500) | 1,546,300) | 1,285,300) | 1,215,400) | 1,013,300) | 849,200) | 818,000) | 1,085,200) | 1,124,200) | 274,500) | 599,200) | 551,200) | 638,000) | 729,900) | 685,187) | 644,315) | 619,638) | ||||||
| Accounts receivable, net | 1,893,500) | 1,805,100) | 1,609,400) | 1,750,600) | 1,656,100) | 1,793,200) | 1,563,400) | 1,538,700) | 1,556,200) | 1,547,800) | 1,442,200) | 1,385,200) | 1,332,900) | 1,292,800) | 1,136,800) | 1,100,372) | 929,142) | 977,551) | ||||||
| Total quick assets | 8,276,300) | 8,006,300) | 7,725,300) | 8,275,100) | 7,451,600) | 11,964,500) | 12,781,700) | 13,466,900) | 12,792,500) | 11,961,900) | 12,220,700) | 11,155,900) | 10,586,300) | 9,530,900) | 8,661,700) | 8,061,257) | 7,637,135) | 7,901,519) | ||||||
| Current liabilities | 4,138,400) | 3,783,200) | 3,564,600) | 3,973,100) | 3,547,200) | 3,795,900) | 3,547,400) | 3,599,400) | 3,352,100) | 3,026,200) | 2,742,100) | 2,609,300) | 2,556,200) | 2,180,200) | 2,142,000) | 1,914,264) | 1,836,448) | 1,944,050) | ||||||
| Liquidity Ratio | ||||||||||||||||||||||||
| Quick ratio1 | 2.00 | 2.12 | 2.17 | 2.08 | 2.10 | 3.15 | 3.60 | 3.74 | 3.82 | 3.95 | 4.46 | 4.28 | 4.14 | 4.37 | 4.04 | 4.21 | 4.16 | 4.06 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Quick Ratio, Competitors2 | ||||||||||||||||||||||||
| AbbVie Inc. | 0.48 | 0.48 | 0.43 | 0.44 | 0.59 | 0.72 | 0.63 | 0.71 | 0.63 | 0.66 | 0.69 | 0.69 | 0.61 | 0.56 | 0.56 | 0.75 | 0.65 | 0.61 | ||||||
| Amgen Inc. | 0.82 | 0.74 | 0.81 | 0.80 | 0.75 | 0.84 | 0.99 | 2.41 | 2.34 | 2.62 | 0.95 | 1.17 | 0.99 | 0.90 | 1.06 | 1.19 | 0.86 | 1.16 | ||||||
| Bristol-Myers Squibb Co. | 0.91 | 0.94 | 0.91 | 0.84 | 0.78 | 0.78 | 1.04 | 0.77 | 0.94 | 1.01 | 0.87 | 0.98 | 1.07 | 1.03 | 1.20 | 1.16 | 1.16 | 1.25 | ||||||
| Danaher Corp. | 0.96 | 0.83 | 0.83 | 0.84 | 0.85 | 1.34 | 1.18 | 1.76 | 1.52 | 1.34 | 1.30 | 1.19 | 1.13 | 1.08 | 0.89 | 0.93 | 1.67 | 1.51 | ||||||
| Eli Lilly & Co. | 0.53 | 0.57 | 0.59 | 0.63 | 0.61 | 0.68 | 0.52 | 0.58 | 0.63 | 0.79 | 0.63 | 0.71 | 0.67 | 0.77 | 0.80 | 0.79 | 0.67 | 0.83 | ||||||
| Gilead Sciences Inc. | 0.89 | 1.00 | 1.20 | 0.82 | 0.69 | 0.72 | 1.06 | 0.98 | 0.78 | 0.95 | 0.99 | 0.96 | 1.06 | 1.06 | 0.95 | 1.01 | 1.05 | 0.99 | ||||||
| Johnson & Johnson | 0.68 | 0.96 | 0.78 | 0.70 | 0.77 | 0.84 | 0.82 | 0.86 | 0.84 | 0.81 | 0.71 | 1.10 | 1.09 | 1.06 | 1.04 | 1.03 | 1.04 | 0.97 | ||||||
| Merck & Co. Inc. | 0.79 | 0.80 | 0.84 | 0.88 | 0.88 | 0.68 | 0.68 | 0.83 | 0.74 | 0.90 | 0.93 | 0.90 | 0.85 | 0.84 | 0.73 | 0.78 | 0.75 | 0.58 | ||||||
| Pfizer Inc. | 0.67 | 0.80 | 0.74 | 0.56 | 0.42 | 0.57 | 0.50 | 1.78 | 1.59 | 0.88 | 0.80 | 1.18 | 1.02 | 0.95 | 1.00 | 0.99 | 0.91 | 0.88 | ||||||
| Regeneron Pharmaceuticals Inc. | 3.57 | 3.90 | 3.86 | 4.34 | 4.43 | 4.40 | 4.82 | 4.31 | 4.53 | 4.54 | 4.16 | 4.37 | 4.20 | 3.95 | 2.98 | 3.03 | 2.92 | 2.39 | ||||||
| Thermo Fisher Scientific Inc. | 1.29 | 1.20 | 1.14 | 1.13 | 1.24 | 1.19 | 1.27 | 1.13 | 0.89 | 0.80 | 1.06 | 1.06 | 0.98 | 0.97 | 1.00 | 2.37 | 1.92 | 1.70 | ||||||
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q2 2025 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 8,276,300 ÷ 4,138,400 = 2.00
2 Click competitor name to see calculations.
- Total Quick Assets
-
The total quick assets exhibit a generally upward trend from March 31, 2021, reaching a peak in December 31, 2023. A decline is then observed in the first half of 2024, followed by some fluctuations through 2025, but levels remain lower compared to earlier peaks. This suggests that the company's most liquid assets increased over the initial periods, indicating improving liquidity, but weakened somewhat in more recent quarters.
- Current Liabilities
-
Current liabilities display a steady upward progression throughout the entire period from March 31, 2021, through June 30, 2025. This indicates a consistent increase in obligations due within the short term. The growth in current liabilities outpaces the growth in quick assets in the later periods, which may signal growing short-term debt or obligations that require careful monitoring.
- Quick Ratio
-
The quick ratio starts at a high level above 4.0 in early 2021 and maintains values generally above 4.0 through the end of 2022, reflecting a strong liquidity position relative to current liabilities. However, beginning in early 2023, there is a clear downward trend in the quick ratio. By mid-2024 through mid-2025, the quick ratio declines to levels around 2.0, indicating a reduction in the buffer of liquid assets relative to current liabilities. This decline in quick ratio demonstrates decreasing short-term liquidity strength despite the earlier robust position.
- Overall Observations
-
The data reflects that while the company initially improved its liquid asset position significantly through 2021 and 2022, the subsequent increase in current liabilities combined with a decrease in quick assets during 2024 and 2025 has resulted in a diminished quick ratio. The reduction in liquidity ratios towards the later periods is important and suggests heightened liquidity risk. Continuous monitoring of liabilities and cash-equivalent assets will be essential to ensure the company maintains adequate liquidity.
Cash Ratio
Vertex Pharmaceuticals Inc., cash ratio calculation (quarterly data)
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||
| Cash and cash equivalents | 4,972,200) | 4,674,700) | 4,569,600) | 5,239,200) | 4,580,100) | 9,158,000) | 10,369,100) | 11,110,200) | 10,151,100) | 9,289,900) | 10,504,000) | 9,171,500) | 8,702,200) | 7,600,100) | 6,795,000) | 6,275,698) | 6,063,678) | 6,304,330) | ||||||
| Marketable securities | 1,410,600) | 1,526,500) | 1,546,300) | 1,285,300) | 1,215,400) | 1,013,300) | 849,200) | 818,000) | 1,085,200) | 1,124,200) | 274,500) | 599,200) | 551,200) | 638,000) | 729,900) | 685,187) | 644,315) | 619,638) | ||||||
| Total cash assets | 6,382,800) | 6,201,200) | 6,115,900) | 6,524,500) | 5,795,500) | 10,171,300) | 11,218,300) | 11,928,200) | 11,236,300) | 10,414,100) | 10,778,500) | 9,770,700) | 9,253,400) | 8,238,100) | 7,524,900) | 6,960,885) | 6,707,993) | 6,923,968) | ||||||
| Current liabilities | 4,138,400) | 3,783,200) | 3,564,600) | 3,973,100) | 3,547,200) | 3,795,900) | 3,547,400) | 3,599,400) | 3,352,100) | 3,026,200) | 2,742,100) | 2,609,300) | 2,556,200) | 2,180,200) | 2,142,000) | 1,914,264) | 1,836,448) | 1,944,050) | ||||||
| Liquidity Ratio | ||||||||||||||||||||||||
| Cash ratio1 | 1.54 | 1.64 | 1.72 | 1.64 | 1.63 | 2.68 | 3.16 | 3.31 | 3.35 | 3.44 | 3.93 | 3.74 | 3.62 | 3.78 | 3.51 | 3.64 | 3.65 | 3.56 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Cash Ratio, Competitors2 | ||||||||||||||||||||||||
| AbbVie Inc. | 0.16 | 0.14 | 0.14 | 0.17 | 0.31 | 0.44 | 0.34 | 0.38 | 0.27 | 0.24 | 0.31 | 0.36 | 0.29 | 0.23 | 0.28 | 0.43 | 0.30 | 0.31 | ||||||
| Amgen Inc. | 0.39 | 0.38 | 0.52 | 0.44 | 0.43 | 0.49 | 0.60 | 2.05 | 2.00 | 2.22 | 0.59 | 0.80 | 0.57 | 0.51 | 0.66 | 0.87 | 0.55 | 0.82 | ||||||
| Bristol-Myers Squibb Co. | 0.49 | 0.49 | 0.46 | 0.36 | 0.29 | 0.37 | 0.55 | 0.33 | 0.43 | 0.49 | 0.42 | 0.48 | 0.63 | 0.66 | 0.78 | 0.73 | 0.68 | 0.75 | ||||||
| Danaher Corp. | 0.44 | 0.30 | 0.31 | 0.36 | 0.35 | 0.90 | 0.71 | 1.31 | 1.02 | 0.85 | 0.71 | 0.64 | 0.53 | 0.49 | 0.32 | 0.35 | 1.07 | 0.93 | ||||||
| Eli Lilly & Co. | 0.09 | 0.11 | 0.12 | 0.14 | 0.12 | 0.14 | 0.11 | 0.11 | 0.15 | 0.23 | 0.13 | 0.18 | 0.18 | 0.19 | 0.26 | 0.28 | 0.22 | 0.26 | ||||||
| Gilead Sciences Inc. | 0.47 | 0.64 | 0.83 | 0.43 | 0.26 | 0.36 | 0.64 | 0.57 | 0.48 | 0.56 | 0.57 | 0.54 | 0.61 | 0.62 | 0.56 | 0.56 | 0.64 | 0.58 | ||||||
| Johnson & Johnson | 0.35 | 0.68 | 0.49 | 0.39 | 0.47 | 0.54 | 0.50 | 0.53 | 0.53 | 0.54 | 0.42 | 0.75 | 0.73 | 0.70 | 0.70 | 0.70 | 0.65 | 0.60 | ||||||
| Merck & Co. Inc. | 0.33 | 0.37 | 0.48 | 0.49 | 0.44 | 0.22 | 0.28 | 0.38 | 0.27 | 0.45 | 0.54 | 0.49 | 0.44 | 0.40 | 0.34 | 0.42 | 0.39 | 0.26 | ||||||
| Pfizer Inc. | 0.35 | 0.48 | 0.48 | 0.23 | 0.16 | 0.29 | 0.27 | 1.42 | 1.29 | 0.55 | 0.54 | 0.82 | 0.70 | 0.61 | 0.73 | 0.71 | 0.61 | 0.51 | ||||||
| Regeneron Pharmaceuticals Inc. | 2.04 | 2.34 | 2.28 | 2.68 | 2.80 | 2.94 | 3.17 | 2.75 | 2.88 | 2.89 | 2.46 | 2.44 | 2.49 | 2.34 | 1.45 | 1.56 | 1.05 | 1.09 | ||||||
| Thermo Fisher Scientific Inc. | 0.50 | 0.45 | 0.42 | 0.46 | 0.60 | 0.52 | 0.58 | 0.43 | 0.22 | 0.22 | 0.50 | 0.26 | 0.17 | 0.23 | 0.33 | 1.55 | 1.01 | 0.80 | ||||||
Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q2 2025 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 6,382,800 ÷ 4,138,400 = 1.54
2 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals several notable trends relating to cash assets, current liabilities, and the cash ratio over the observed periods.
- Total Cash Assets
- Total cash assets generally exhibited an upward trajectory from March 2021 through December 2023, increasing from approximately $6.92 billion to around $11.22 billion. This growth phase peaked at the end of 2023. However, starting in the first quarter of 2024, cash assets noticeably declined, reaching a low point of approximately $5.80 billion in June 2024. Following this dip, there was a moderate recovery in cash assets through to mid-2025, though the levels remained below their late 2023 peak.
- Current Liabilities
- Current liabilities steadily increased throughout the entire period. Beginning at about $1.94 billion in March 2021, liabilities rose consistently to approximately $3.55 billion by the end of 2023. This upward trend persisted into 2024 and 2025, culminating in around $4.14 billion by June 2025. The growth in current liabilities appears continuous without any significant reversals or plateaus.
- Cash Ratio
- The cash ratio, which measures the company's liquidity by comparing cash assets to current liabilities, showed a declining trend across the timeline. Initially, the ratio was very strong, fluctuating around 3.5 to 3.9 from 2021 through 2023, indicating robust liquidity and an ability to cover current liabilities multiple times over with available cash. Beginning in the first quarter of 2024, the cash ratio declined sharply to below 2.0, hitting a low of approximately 1.54 by mid-2025. This decline reflects the simultaneous reduction in cash assets and increase in current liabilities, suggesting a weakening in liquidity position over this later period.
In summary, the company’s liquidity and cash asset reserves were strong and growing through 2023 but faced a significant contraction starting in early 2024. Concurrently, current liabilities have consistently grown, exerting pressure on liquidity as evidenced by the falling cash ratio. The data indicates a shift from a highly liquid position towards a more constrained liquidity environment in recent quarters, which may warrant further analysis and monitoring.