Microsoft Excel LibreOffice Calc

Johnson & Johnson (NYSE:JNJ)


Analysis of Liquidity Ratios

Beginner level


Liquidity Ratios (Summary)

Johnson & Johnson, liquidity ratios

Microsoft Excel LibreOffice Calc
Dec 29, 2019 Dec 30, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Current ratio 1.26 1.47 1.41 2.47 2.17
Quick ratio 0.94 1.08 1.04 2.04 1.77
Cash ratio 0.54 0.63 0.60 1.59 1.38

Based on: 10-K (filing date: 2020-02-18), 10-K (filing date: 2019-02-20), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-27), 10-K (filing date: 2016-02-24).

Liquidity ratio Description The company
Current ratio A liquidity ratio calculated as current assets divided by current liabilities. Johnson & Johnson’s current ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.
Quick ratio A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. Johnson & Johnson’s quick ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.
Cash ratio A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. Johnson & Johnson’s cash ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.

Current Ratio

Johnson & Johnson, current ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 29, 2019 Dec 30, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Current assets 45,274  46,033  43,088  65,032  60,210 
Current liabilities 35,964  31,230  30,537  26,287  27,747 
Liquidity Ratio
Current ratio1 1.26 1.47 1.41 2.47 2.17
Benchmarks
Current Ratio, Competitors2
Abbott Laboratories 1.44 1.62 2.26 4.02 1.54
AbbVie Inc. 3.18 0.98 1.28 1.65 1.50
Allergan PLC 1.01 1.13 1.16 2.27 1.03
Amgen Inc. 1.44 2.79 5.49 4.11 4.44
Biogen Inc. 1.72 2.32 2.34 2.55 2.60
Bristol-Myers Squibb Co. 1.60 1.61 1.55 1.55 1.30
Eli Lilly & Co. 1.16 1.73 1.32 1.37 1.53
Gilead Sciences Inc. 3.10 3.38 2.74 2.22 2.50
Merck & Co. Inc. 1.24 1.17 1.33 1.78 1.55
Pfizer Inc. 0.88 1.57 1.35 1.25 1.49
Regeneron Pharmaceuticals Inc. 3.67 4.47 3.82 2.56 3.59
Vertex Pharmaceuticals Inc. 3.61 3.43 3.28 2.31 2.78
Zoetis Inc. 2.63 3.60 3.85 3.03 2.15
Current Ratio, Sector
Pharmaceuticals & Biotechnology 1.53 1.72 1.78 2.11 1.89
Current Ratio, Industry
Health Care 1.40 1.51 1.60 1.80 1.70

Based on: 10-K (filing date: 2020-02-18), 10-K (filing date: 2019-02-20), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-27), 10-K (filing date: 2016-02-24).

1 2019 Calculation
Current ratio = Current assets ÷ Current liabilities
= 45,274 ÷ 35,964 = 1.26

2 Click competitor name to see calculations.

Liquidity ratio Description The company
Current ratio A liquidity ratio calculated as current assets divided by current liabilities. Johnson & Johnson’s current ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.

Quick Ratio

Johnson & Johnson, quick ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 29, 2019 Dec 30, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Cash and cash equivalents 17,305  18,107  17,824  18,972  13,732 
Marketable securities 1,982  1,580  472  22,935  24,644 
Accounts receivable trade, less allowances for doubtful accounts 14,481  14,098  13,490  11,699  10,734 
Total quick assets 33,768  33,785  31,786  53,606  49,110 
 
Current liabilities 35,964  31,230  30,537  26,287  27,747 
Liquidity Ratio
Quick ratio1 0.94 1.08 1.04 2.04 1.77
Benchmarks
Quick Ratio, Competitors2
Abbott Laboratories 0.88 1.03 1.67 3.31 1.04
AbbVie Inc. 2.91 0.78 0.89 1.14 1.21
Allergan PLC 0.82 0.83 0.95 2.00 0.42
Amgen Inc. 1.01 2.44 4.98 3.68 3.97
Biogen Inc. 1.43 1.83 1.78 1.94 1.93
Bristol-Myers Squibb Co. 1.26 1.37 1.30 1.27 1.05
Eli Lilly & Co. 0.68 1.20 0.91 0.98 1.04
Gilead Sciences Inc. 2.86 3.15 2.52 1.78 2.07
Merck & Co. Inc. 0.78 0.72 0.83 1.24 1.04
Pfizer Inc. 0.50 0.84 0.93 0.84 1.07
Regeneron Pharmaceuticals Inc. 2.81 3.50 2.98 2.13 3.10
Vertex Pharmaceuticals Inc. 3.33 3.19 2.94 2.06 2.41
Zoetis Inc. 1.67 2.24 2.34 1.47 1.17
Quick Ratio, Sector
Pharmaceuticals & Biotechnology 1.15 1.27 1.38 1.66 1.44
Quick Ratio, Industry
Health Care 1.04 1.11 1.23 1.40 1.30

Based on: 10-K (filing date: 2020-02-18), 10-K (filing date: 2019-02-20), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-27), 10-K (filing date: 2016-02-24).

1 2019 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 33,768 ÷ 35,964 = 0.94

2 Click competitor name to see calculations.

Liquidity ratio Description The company
Quick ratio A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. Johnson & Johnson’s quick ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.

Cash Ratio

Johnson & Johnson, cash ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 29, 2019 Dec 30, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Cash and cash equivalents 17,305  18,107  17,824  18,972  13,732 
Marketable securities 1,982  1,580  472  22,935  24,644 
Total cash assets 19,287  19,687  18,296  41,907  38,376 
 
Current liabilities 35,964  31,230  30,537  26,287  27,747 
Liquidity Ratio
Cash ratio1 0.54 0.63 0.60 1.59 1.38
Benchmarks
Cash Ratio, Competitors2
Abbott Laboratories 0.38 0.45 1.08 2.82 0.67
AbbVie Inc. 2.56 0.47 0.59 0.66 0.77
Allergan PLC 0.53 0.33 0.65 1.68 0.13
Amgen Inc. 0.69 2.17 4.62 3.40 3.62
Biogen Inc. 0.92 1.07 1.10 1.43 1.33
Bristol-Myers Squibb Co. 0.84 0.83 0.71 0.72 0.53
Eli Lilly & Co. 0.21 0.68 0.55 0.55 0.54
Gilead Sciences Inc. 2.50 2.84 2.19 1.29 1.48
Merck & Co. Inc. 0.47 0.40 0.46 0.83 0.70
Pfizer Inc. 0.26 0.59 0.66 0.57 0.79
Regeneron Pharmaceuticals Inc. 1.53 1.95 1.24 0.84 1.29
Vertex Pharmaceuticals Inc. 2.85 2.83 2.59 1.81 2.06
Zoetis Inc. 1.07 1.39 1.43 0.65 0.65
Cash Ratio, Sector
Pharmaceuticals & Biotechnology 0.79 0.87 0.98 1.26 1.05
Cash Ratio, Industry
Health Care 0.66 0.71 0.85 0.99 0.91

Based on: 10-K (filing date: 2020-02-18), 10-K (filing date: 2019-02-20), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-27), 10-K (filing date: 2016-02-24).

1 2019 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 19,287 ÷ 35,964 = 0.54

2 Click competitor name to see calculations.

Liquidity ratio Description The company
Cash ratio A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. Johnson & Johnson’s cash ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.