Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Kinder Morgan Inc., liquidity ratios
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Current ratio | 0.63 | 0.76 | 0.44 | 0.55 | 0.69 | |
| Quick ratio | 0.49 | 0.64 | 0.29 | 0.36 | 0.39 | |
| Cash ratio | 0.22 | 0.44 | 0.05 | 0.13 | 0.07 |
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Kinder Morgan Inc. current ratio improved from 2017 to 2018 but then slightly deteriorated from 2018 to 2019. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Kinder Morgan Inc. quick ratio improved from 2017 to 2018 but then slightly deteriorated from 2018 to 2019. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Kinder Morgan Inc. cash ratio improved from 2017 to 2018 but then slightly deteriorated from 2018 to 2019 not reaching 2017 level. |
Current Ratio
Kinder Morgan Inc., current ratio calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current assets | 3,238) | 5,722) | 2,715) | 3,229) | 2,824) | |
| Current liabilities | 5,100) | 7,557) | 6,181) | 5,924) | 4,065) | |
| Liquidity Ratio | ||||||
| Current ratio1 | 0.63 | 0.76 | 0.44 | 0.55 | 0.69 | |
| Benchmarks | ||||||
| Current Ratio, Competitors2 | ||||||
| Chevron Corp. | 1.07 | — | — | — | — | |
| ConocoPhillips | 2.40 | — | — | — | — | |
| Exxon Mobil Corp. | 0.78 | — | — | — | — | |
| Marathon Petroleum Corp. | 1.25 | — | — | — | — | |
| Occidental Petroleum Corp. | 1.25 | — | — | — | — | |
| Valero Energy Corp. | 1.44 | — | — | — | — | |
| Current Ratio, Sector | ||||||
| Oil, Gas & Consumable Fuels | 1.08 | — | — | — | — | |
| Current Ratio, Industry | ||||||
| Energy | 1.09 | — | — | — | — | |
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).
1 2019 Calculation
Current ratio = Current assets ÷ Current liabilities
= 3,238 ÷ 5,100 = 0.63
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. | Kinder Morgan Inc. current ratio improved from 2017 to 2018 but then slightly deteriorated from 2018 to 2019. |
Quick Ratio
Kinder Morgan Inc., quick ratio calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cash and cash equivalents | 185) | 3,280) | 264) | 684) | 229) | |
| Restricted deposits | 24) | 51) | 62) | 103) | 60) | |
| Marketable securities at fair value | 925) | —) | —) | —) | —) | |
| Accounts receivable, net | 1,370) | 1,498) | 1,448) | 1,370) | 1,315) | |
| Total quick assets | 2,504) | 4,829) | 1,774) | 2,157) | 1,604) | |
| Current liabilities | 5,100) | 7,557) | 6,181) | 5,924) | 4,065) | |
| Liquidity Ratio | ||||||
| Quick ratio1 | 0.49 | 0.64 | 0.29 | 0.36 | 0.39 | |
| Benchmarks | ||||||
| Quick Ratio, Competitors2 | ||||||
| Chevron Corp. | 0.72 | — | — | — | — | |
| ConocoPhillips | 1.93 | — | — | — | — | |
| Exxon Mobil Corp. | 0.47 | — | — | — | — | |
| Marathon Petroleum Corp. | 0.58 | — | — | — | — | |
| Occidental Petroleum Corp. | 0.63 | — | — | — | — | |
| Valero Energy Corp. | 0.88 | — | — | — | — | |
| Quick Ratio, Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.66 | — | — | — | — | |
| Quick Ratio, Industry | ||||||
| Energy | 0.67 | — | — | — | — | |
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).
1 2019 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 2,504 ÷ 5,100 = 0.49
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. | Kinder Morgan Inc. quick ratio improved from 2017 to 2018 but then slightly deteriorated from 2018 to 2019. |
Cash Ratio
Kinder Morgan Inc., cash ratio calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cash and cash equivalents | 185) | 3,280) | 264) | 684) | 229) | |
| Restricted deposits | 24) | 51) | 62) | 103) | 60) | |
| Marketable securities at fair value | 925) | —) | —) | —) | —) | |
| Total cash assets | 1,134) | 3,331) | 326) | 787) | 289) | |
| Current liabilities | 5,100) | 7,557) | 6,181) | 5,924) | 4,065) | |
| Liquidity Ratio | ||||||
| Cash ratio1 | 0.22 | 0.44 | 0.05 | 0.13 | 0.07 | |
| Benchmarks | ||||||
| Cash Ratio, Competitors2 | ||||||
| Chevron Corp. | 0.22 | — | — | — | — | |
| ConocoPhillips | 1.45 | — | — | — | — | |
| Exxon Mobil Corp. | 0.05 | — | — | — | — | |
| Marathon Petroleum Corp. | 0.09 | — | — | — | — | |
| Occidental Petroleum Corp. | 0.20 | — | — | — | — | |
| Valero Energy Corp. | 0.20 | — | — | — | — | |
| Cash Ratio, Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.18 | — | — | — | — | |
| Cash Ratio, Industry | ||||||
| Energy | 0.18 | — | — | — | — | |
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).
1 2019 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 1,134 ÷ 5,100 = 0.22
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. | Kinder Morgan Inc. cash ratio improved from 2017 to 2018 but then slightly deteriorated from 2018 to 2019 not reaching 2017 level. |