Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

UnitedHealth Group Inc. (NYSE:UNH)

Analysis of Short-term (Operating) Activity Ratios

Beginner level

Short-term Activity Ratios (Summary)

UnitedHealth Group Inc., short-term (operating) activity ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Turnover Ratios
Receivables turnover 20.32 19.75 20.92 22.57 23.98
Payables turnover 8.51 8.67 8.63 8.63 8.38
Working capital turnover
Average No. Days
Average receivable collection period 18 18 17 16 15
Average payables payment period 43 42 42 42 44

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-12), 10-K (filing date: 2018-02-13), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-09).

Short-term activity ratio Description The company
Receivables turnover An activity ratio equal to revenue divided by receivables. UnitedHealth Group Inc.’s receivables turnover ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. UnitedHealth Group Inc.’s payables turnover ratio increased from 2017 to 2018 but then decreased significantly from 2018 to 2019.
Working capital turnover An activity ratio calculated as revenue divided by working capital.

Short-term activity ratio Description The company
Average receivable collection period An activity ratio equal to the number of days in the period divided by receivables turnover.
Average payables payment period An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period.

Receivables Turnover

UnitedHealth Group Inc., receivables turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Revenues 240,269  224,871  200,136  184,012  156,397 
Accounts receivable, net of allowances 11,822  11,388  9,568  8,152  6,523 
Short-term Activity Ratio
Receivables turnover1 20.32 19.75 20.92 22.57 23.98
Benchmarks
Receivables Turnover, Competitors2
Becton, Dickinson & Co. 7.37 6.89 6.93 7.72 6.35
Boston Scientific Corp. 5.87 6.11 5.84 5.70 5.86
Danaher Corp. 5.61 5.70 5.20 5.30 5.19
Edwards Lifesciences Corp. 8.00 8.15 8.15 8.11 7.91
Intuitive Surgical Inc. 6.94 5.46 6.11 6.29 6.05
Medtronic PLC 4.91 5.00 5.31 5.18 3.96
Stryker Corp. 5.14 5.83 5.66 5.76 5.98
Thermo Fisher Scientific Inc. 5.87 5.89 5.39 5.99 6.67
Receivables Turnover, Sector
Health Care Equipment & Services 10.82 10.68 10.67 11.08 10.54
Receivables Turnover, Industry
Health Care 7.37 7.45 7.29 7.57 7.30

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-12), 10-K (filing date: 2018-02-13), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-09).

1 2019 Calculation
Receivables turnover = Revenues ÷ Accounts receivable, net of allowances
= 240,269 ÷ 11,822 = 20.32

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Receivables turnover An activity ratio equal to revenue divided by receivables. UnitedHealth Group Inc.’s receivables turnover ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.

Payables Turnover

UnitedHealth Group Inc., payables turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Cost of revenues 184,557  172,401  154,148  141,454  120,081 
Medical costs payable 21,690  19,891  17,871  16,391  14,330 
Short-term Activity Ratio
Payables turnover1 8.51 8.67 8.63 8.63 8.38
Benchmarks
Payables Turnover, Competitors2
Becton, Dickinson & Co. 8.24 7.89 7.72 9.76 8.85
Boston Scientific Corp. 5.75 8.06 4.89 5.42 10.40
Danaher Corp. 5.23 5.13 5.39 5.08 4.78
Edwards Lifesciences Corp. 6.18 7.01 7.51 8.21 9.66
Intuitive Surgical Inc. 11.08 11.12 11.33 11.89 15.33
Medtronic PLC 4.69 5.56 5.37 5.35 3.92
Stryker Corp. 7.69 7.22 8.77 8.76 8.16
Thermo Fisher Scientific Inc. 7.40 8.36 8.03 10.69 11.20
Payables Turnover, Sector
Health Care Equipment & Services 7.94 8.17 8.06 8.21 7.83
Payables Turnover, Industry
Health Care 5.76 5.98 5.79 5.95 5.73

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-12), 10-K (filing date: 2018-02-13), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-09).

1 2019 Calculation
Payables turnover = Cost of revenues ÷ Medical costs payable
= 184,557 ÷ 21,690 = 8.51

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. UnitedHealth Group Inc.’s payables turnover ratio increased from 2017 to 2018 but then decreased significantly from 2018 to 2019.

Working Capital Turnover

UnitedHealth Group Inc., working capital turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Current assets 42,634  38,692  37,084  33,879  31,639 
Less: Current liabilities 61,782  53,209  50,463  49,252  42,898 
Working capital (19,148) (14,517) (13,379) (15,373) (11,259)
 
Revenues 240,269  224,871  200,136  184,012  156,397 
Short-term Activity Ratio
Working capital turnover1
Benchmarks
Working Capital Turnover, Competitors2
Becton, Dickinson & Co. 17.14 81.96 0.79 6.35 6.20
Boston Scientific Corp. 7.18
Danaher Corp. 0.87 8.83 8.91 12.34
Edwards Lifesciences Corp. 2.09 2.64 3.04 1.74 1.59
Intuitive Surgical Inc. 1.23 1.06 1.49 1.02 1.40
Medtronic PLC 2.26 2.32 2.79 1.75 0.93
Stryker Corp. 2.14 2.76 2.76 2.40 2.24
Thermo Fisher Scientific Inc. 4.48 5.44 8.82 8.48 10.64
Working Capital Turnover, Sector
Health Care Equipment & Services 10.69 24.89 13.50 20.86 10.24
Working Capital Turnover, Industry
Health Care 5.19 5.10 4.22 3.64 3.61

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-12), 10-K (filing date: 2018-02-13), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-09).

1 2019 Calculation
Working capital turnover = Revenues ÷ Working capital
= 240,269 ÷ -19,148 =

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Working capital turnover An activity ratio calculated as revenue divided by working capital.

Average Receivable Collection Period

UnitedHealth Group Inc., average receivable collection period calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data
Receivables turnover 20.32 19.75 20.92 22.57 23.98
Short-term Activity Ratio (no. days)
Average receivable collection period1 18 18 17 16 15
Benchmarks (no. days)
Average Receivable Collection Period, Competitors2
Becton, Dickinson & Co. 50 53 53 47 57
Boston Scientific Corp. 62 60 62 64 62
Danaher Corp. 65 64 70 69 70
Edwards Lifesciences Corp. 46 45 45 45 46
Intuitive Surgical Inc. 53 67 60 58 60
Medtronic PLC 74 73 69 70 92
Stryker Corp. 71 63 64 63 61
Thermo Fisher Scientific Inc. 62 62 68 61 55
Average Receivable Collection Period, Sector
Health Care Equipment & Services 34 34 34 33 35
Average Receivable Collection Period, Industry
Health Care 50 49 50 48 50

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-12), 10-K (filing date: 2018-02-13), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-09).

1 2019 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 20.32 = 18

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Average receivable collection period An activity ratio equal to the number of days in the period divided by receivables turnover.

Average Payables Payment Period

UnitedHealth Group Inc., average payables payment period calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data
Payables turnover 8.51 8.67 8.63 8.63 8.38
Short-term Activity Ratio (no. days)
Average payables payment period1 43 42 42 42 44
Benchmarks (no. days)
Average Payables Payment Period, Competitors2
Becton, Dickinson & Co. 44 46 47 37 41
Boston Scientific Corp. 64 45 75 67 35
Danaher Corp. 70 71 68 72 76
Edwards Lifesciences Corp. 59 52 49 44 38
Intuitive Surgical Inc. 33 33 32 31 24
Medtronic PLC 78 66 68 68 93
Stryker Corp. 47 51 42 42 45
Thermo Fisher Scientific Inc. 49 44 45 34 33
Average Payables Payment Period, Sector
Health Care Equipment & Services 46 45 45 44 47
Average Payables Payment Period, Industry
Health Care 63 61 63 61 64

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-12), 10-K (filing date: 2018-02-13), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-09).

1 2019 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 8.51 = 43

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Average payables payment period An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period.