Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Medtronic PLC, liquidity ratios
Based on: 10-K (reporting date: 2023-04-28), 10-K (reporting date: 2022-04-29), 10-K (reporting date: 2021-04-30), 10-K (reporting date: 2020-04-24), 10-K (reporting date: 2019-04-26), 10-K (reporting date: 2018-04-27).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Medtronic PLC current ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 not reaching 2021 level. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Medtronic PLC quick ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Medtronic PLC cash ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023. |
Current Ratio
Medtronic PLC, current ratio calculation, comparison to benchmarks
| Apr 28, 2023 | Apr 29, 2022 | Apr 30, 2021 | Apr 24, 2020 | Apr 26, 2019 | Apr 27, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Current assets | 21,675) | 23,059) | 22,548) | 22,031) | 21,967) | 22,980) | |
| Current liabilities | 9,051) | 12,394) | 8,509) | 10,366) | 8,472) | 10,084) | |
| Liquidity Ratio | |||||||
| Current ratio1 | 2.39 | 1.86 | 2.65 | 2.13 | 2.59 | 2.28 | |
| Benchmarks | |||||||
| Current Ratio, Competitors2 | |||||||
| Abbott Laboratories | 1.64 | 1.63 | 1.85 | 1.72 | 1.44 | — | |
| Cigna Group | 0.77 | 0.73 | 0.83 | 0.77 | 0.74 | — | |
| CVS Health Corp. | 0.86 | 0.94 | 0.88 | 0.91 | 0.94 | — | |
| Elevance Health Inc. | 1.44 | 1.40 | 1.47 | 1.55 | 1.65 | — | |
| Humana Inc. | 1.59 | 1.52 | 1.62 | 1.77 | 1.82 | — | |
| Intuitive Surgical Inc. | 4.76 | 4.40 | 5.08 | 6.86 | 4.53 | — | |
| Shockwave Medical Inc. | 11.76 | 7.25 | 5.54 | 9.63 | 9.03 | — | |
| UnitedHealth Group Inc. | 0.79 | 0.77 | 0.79 | 0.74 | 0.69 | — | |
| Current Ratio, Sector | |||||||
| Health Care Equipment & Services | 1.05 | 1.05 | 1.09 | 1.08 | 1.07 | — | |
| Current Ratio, Industry | |||||||
| Health Care | 1.14 | 1.15 | 1.21 | 1.21 | 1.34 | — | |
Based on: 10-K (reporting date: 2023-04-28), 10-K (reporting date: 2022-04-29), 10-K (reporting date: 2021-04-30), 10-K (reporting date: 2020-04-24), 10-K (reporting date: 2019-04-26), 10-K (reporting date: 2018-04-27).
1 2023 Calculation
Current ratio = Current assets ÷ Current liabilities
= 21,675 ÷ 9,051 = 2.39
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. | Medtronic PLC current ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 not reaching 2021 level. |
Quick Ratio
Medtronic PLC, quick ratio calculation, comparison to benchmarks
| Apr 28, 2023 | Apr 29, 2022 | Apr 30, 2021 | Apr 24, 2020 | Apr 26, 2019 | Apr 27, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Cash and cash equivalents | 1,543) | 3,714) | 3,593) | 4,140) | 4,393) | 3,669) | |
| Investments | 6,416) | 6,859) | 7,224) | 6,808) | 5,455) | 7,558) | |
| Accounts receivable, less allowances and credit losses | 5,998) | 5,551) | 5,462) | 4,645) | 6,222) | 5,987) | |
| Total quick assets | 13,957) | 16,124) | 16,279) | 15,593) | 16,070) | 17,214) | |
| Current liabilities | 9,051) | 12,394) | 8,509) | 10,366) | 8,472) | 10,084) | |
| Liquidity Ratio | |||||||
| Quick ratio1 | 1.54 | 1.30 | 1.91 | 1.50 | 1.90 | 1.71 | |
| Benchmarks | |||||||
| Quick Ratio, Competitors2 | |||||||
| Abbott Laboratories | 1.00 | 1.06 | 1.28 | 1.14 | 0.88 | — | |
| Cigna Group | 0.54 | 0.58 | 0.48 | 0.66 | 0.41 | — | |
| CVS Health Corp. | 0.59 | 0.62 | 0.55 | 0.53 | 0.52 | — | |
| Elevance Health Inc. | 1.30 | 1.27 | 1.33 | 1.42 | 1.52 | — | |
| Humana Inc. | 1.24 | 1.20 | 1.20 | 1.37 | 1.47 | — | |
| Intuitive Surgical Inc. | 3.83 | 3.56 | 4.34 | 5.96 | 3.75 | — | |
| Shockwave Medical Inc. | 10.61 | 5.93 | 4.62 | 8.37 | 8.44 | — | |
| UnitedHealth Group Inc. | 0.73 | 0.70 | 0.72 | 0.68 | 0.63 | — | |
| Quick Ratio, Sector | |||||||
| Health Care Equipment & Services | 0.83 | 0.83 | 0.83 | 0.85 | 0.78 | — | |
| Quick Ratio, Industry | |||||||
| Health Care | 0.83 | 0.85 | 0.89 | 0.90 | 1.00 | — | |
Based on: 10-K (reporting date: 2023-04-28), 10-K (reporting date: 2022-04-29), 10-K (reporting date: 2021-04-30), 10-K (reporting date: 2020-04-24), 10-K (reporting date: 2019-04-26), 10-K (reporting date: 2018-04-27).
1 2023 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 13,957 ÷ 9,051 = 1.54
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. | Medtronic PLC quick ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023. |
Cash Ratio
Medtronic PLC, cash ratio calculation, comparison to benchmarks
| Apr 28, 2023 | Apr 29, 2022 | Apr 30, 2021 | Apr 24, 2020 | Apr 26, 2019 | Apr 27, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Cash and cash equivalents | 1,543) | 3,714) | 3,593) | 4,140) | 4,393) | 3,669) | |
| Investments | 6,416) | 6,859) | 7,224) | 6,808) | 5,455) | 7,558) | |
| Total cash assets | 7,959) | 10,573) | 10,817) | 10,948) | 9,848) | 11,227) | |
| Current liabilities | 9,051) | 12,394) | 8,509) | 10,366) | 8,472) | 10,084) | |
| Liquidity Ratio | |||||||
| Cash ratio1 | 0.88 | 0.85 | 1.27 | 1.06 | 1.16 | 1.11 | |
| Benchmarks | |||||||
| Cash Ratio, Competitors2 | |||||||
| Abbott Laboratories | 0.53 | 0.66 | 0.78 | 0.60 | 0.38 | — | |
| Cigna Group | 0.18 | 0.17 | 0.14 | 0.32 | 0.14 | — | |
| CVS Health Corp. | 0.14 | 0.23 | 0.18 | 0.18 | 0.15 | — | |
| Elevance Health Inc. | 0.87 | 0.86 | 0.95 | 1.04 | 1.08 | — | |
| Humana Inc. | 1.13 | 1.10 | 1.08 | 1.29 | 1.37 | — | |
| Intuitive Surgical Inc. | 3.15 | 2.90 | 3.66 | 5.30 | 3.13 | — | |
| Shockwave Medical Inc. | 9.51 | 4.80 | 3.89 | 7.91 | 8.14 | — | |
| UnitedHealth Group Inc. | 0.34 | 0.36 | 0.36 | 0.33 | 0.28 | — | |
| Cash Ratio, Sector | |||||||
| Health Care Equipment & Services | 0.43 | 0.46 | 0.46 | 0.50 | 0.42 | — | |
| Cash Ratio, Industry | |||||||
| Health Care | 0.43 | 0.48 | 0.51 | 0.53 | 0.64 | — | |
Based on: 10-K (reporting date: 2023-04-28), 10-K (reporting date: 2022-04-29), 10-K (reporting date: 2021-04-30), 10-K (reporting date: 2020-04-24), 10-K (reporting date: 2019-04-26), 10-K (reporting date: 2018-04-27).
1 2023 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 7,959 ÷ 9,051 = 0.88
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. | Medtronic PLC cash ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023. |