UnitedHealth Group Inc. (NYSE:UNH)

Current Ratio

The current ratio has exhibited moderate variability over the analyzed periods, generally fluctuating between 0.74 and 0.85. Starting at 0.75 in March 2020, the ratio increased to a high near 0.85 by mid-2024, indicating a slight improvement in short-term liquidity. However, intermittent declines to approximately 0.74 were observed, showing some inconsistency. The latter part of the data suggests a stable yet modest liquidity position, consistently remaining below 1, which may imply limited short-term asset coverage for liabilities.

Quick Ratio

The quick ratio follows a pattern similar to the current ratio, with values mostly between 0.66 and 0.83. It shows gradual improvement from 0.66 in early 2020 to around 0.81 in late 2024, suggesting enhanced ability to meet immediate liabilities without relying on inventory. The ratio reflects consistent but cautious liquidity management, maintaining a buffer below 1 throughout the periods.

Cash Ratio

The cash ratio demonstrates the greatest fluctuation among the three liquidity measures, ranging roughly from 0.28 to 0.46. It experienced peaks around 0.46 in late 2022 but generally trends around 0.33 to 0.43 in most other quarters. Notably, a downward tendency is visible toward the latter periods, with ratios falling close to 0.29 by mid-2025. This indicates potential tightening in immediate cash availability relative to current liabilities.

The analysis of the quarterly financial data reveals several key trends in the company's liquidity position over the observed periods.

Current Assets

Current assets exhibit fluctuations throughout the quarters, starting from a value of approximately 58.8 billion US dollars in March 2020. There is a slight decline in mid-2020, followed by gradual increases reaching a peak of about 93.9 billion US dollars in March 2023. Subsequently, current assets display moderate variability, maintaining levels above 85 billion US dollars towards the end of the data, indicating a generally stable to growing asset base in the short term.

Current Liabilities

Current liabilities show a rising trend overall, beginning around 78.6 billion US dollars in March 2020. The liabilities increased substantially reaching over 116 billion US dollars by March 2023, reflecting heightened short-term obligations. Although there are some fluctuations, liabilities remain elevated, with values frequently exceeding 100 billion US dollars in the later periods, suggesting increased financial commitments or operational expenditures.

Current Ratio

The current ratio remains below 1.0 throughout the timeline, indicating that current liabilities consistently surpass current assets. The ratio starts at 0.75 at the beginning of the period and experiences minor variations, moving between 0.74 and 0.91. Notably, from early 2023 onwards, there is a trend towards gradual improvement, reaching as high as 0.91 by September 2024, before slightly declining again. Despite this improvement, the liquidity position remains tight, implying potential challenges in covering short-term liabilities with current assets.

In summary, the company has seen both current assets and liabilities rise over the observed timeframe, with liabilities increasing at a higher rate, thereby exerting pressure on liquidity ratios. The current ratio improvements in recent quarters suggest efforts to strengthen short-term financial health, yet it continues to indicate reliance on managing liabilities carefully to maintain liquidity.

Total Quick Assets

The total quick assets demonstrated notable fluctuations over the observed periods. Starting at approximately $52.2 billion in March 2020, the figure experienced a decline through the third quarter of 2020, reaching a low near $49.9 billion in September 2020. Following this, there was a recovery and upward trend, peaking above $77.2 billion in September 2022. Subsequent quarters exhibited some volatility with decreases and increases, with values generally remaining above $70 billion from early 2023 onward. The trend towards the end of the timeline showed total quick assets stabilizing around $84 billion, indicating an overall growth in liquid assets compared to the starting point.

Current Liabilities

Current liabilities initially decreased from about $78.6 billion in March 2020 to roughly $66.6 billion by September 2020, suggesting some reduction in short-term obligations early on. However, starting in late 2020, current liabilities increased sharply, reaching near $100.9 billion by September 2022. This elevated level of liabilities remained relatively high with some fluctuations through subsequent quarters, oscillating generally between $99 billion and $116 billion from 2021 onwards. The increase over the period indicates a growing magnitude of obligations due within one year, which may have implications for liquidity and working capital management.

Quick Ratio

The quick ratio, an indicator of short-term liquidity, ranged from 0.66 to 0.83 over the examined timeframe. Initially, the ratio improved from 0.66 in March 2020 to around 0.76 by June 2020, then exhibited moderate oscillations without a clear sustained upward or downward trend through 2021. From early 2022 forward, the quick ratio showed a general improvement tendency, peaking around 0.83 in September 2024. Nevertheless, the ratio slightly decreased towards the end of 2024 and into mid-2025, settling in the high 0.70 range. Overall, despite increases in current liabilities, the company maintained a stable to improving liquidity position as measured by quick assets relative to current liabilities.

Summary of Trends

The data indicates an overall growth in total quick assets alongside an even more pronounced increase in current liabilities over the observed periods. Despite the rising liabilities, the quick ratio improved slightly, reflecting effective management of liquid resources relative to short-term obligations. The fluctuations in both quick assets and current liabilities suggest periodic operational or financial adjustments, possibly influenced by external economic conditions or internal strategic decisions. Maintaining a quick ratio mostly above 0.7 suggests a relatively adequate liquidity position, though the increasing current liabilities warrant ongoing monitoring to ensure continued financial stability.

The quarterly financial data indicate fluctuating trends in cash assets, current liabilities, and the cash ratio over the observed periods.

Total Cash Assets

The total cash assets exhibit variability across quarters. Beginning at $27.3 billion in March 2020, cash assets experienced a moderate increase and decline through 2020 and 2021, reaching a peak of approximately $50.3 billion in March 2023. After this high, there was a noticeable downward correction with cash assets decreasing to around $33.4 billion by December 2023. In subsequent quarters of 2024 and early 2025, cash assets showed some recovery but generally remained below the earlier peak, trending around $29.1 billion to $34.3 billion.

Current Liabilities

Current liabilities showed an overall upward trend throughout the period. Starting near $78.6 billion in March 2020, there were fluctuations but a general increase over the years. Notably, liabilities rose to a high of $116.5 billion in March 2023, paralleling the peak in cash assets. Post this peak, current liabilities slightly declined but remained elevated, ending near $110.8 billion by June 2025. The significant increases in liabilities indicate growing short-term obligations over time.

Cash Ratio

The cash ratio, representing the ability to cover current liabilities with cash and cash equivalents, remained below 0.5, indicating conservative liquidity. The ratio fluctuated between 0.28 and 0.46. It initially hovered around 0.33-0.42 from 2020 to early 2022, then rose to reach 0.46 in September 2022 during a cash assets peak. Subsequently, the ratio declined, reaching a low of 0.28 by March 2025. These oscillations suggest variations in liquidity management and the balance between cash reserves and short-term obligations.

Overall, the data show periods of heightened cash reserves and liabilities coinciding around early 2023, followed by moderation in both measures. The consistent cash ratio below 0.5 reveals reliance on other current assets beyond cash to meet short-term liabilities. The patterns indicate active liquidity and liability management, with notable volatility in cash holdings and liabilities over the analyzed timeframe.