Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Celgene Corp., liquidity ratios
| Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | ||
|---|---|---|---|---|---|---|
| Current ratio | 2.23 | 4.99 | 3.67 | 4.77 | 4.60 | |
| Quick ratio | 2.00 | 4.67 | 3.24 | 4.05 | 4.13 | |
| Cash ratio | 1.49 | 4.03 | 2.69 | 3.33 | 3.57 |
Based on: 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), 10-K (reporting date: 2014-12-31).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Celgene Corp. current ratio improved from 2016 to 2017 but then deteriorated significantly from 2017 to 2018. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Celgene Corp. quick ratio improved from 2016 to 2017 but then deteriorated significantly from 2017 to 2018. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Celgene Corp. cash ratio improved from 2016 to 2017 but then deteriorated significantly from 2017 to 2018. |
Current Ratio
Celgene Corp., current ratio calculation, comparison to benchmarks
| Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current assets | 9,067) | 14,892) | 10,868) | 9,401) | 9,713) | |
| Current liabilities | 4,057) | 2,987) | 2,959) | 1,969) | 2,112) | |
| Liquidity Ratio | ||||||
| Current ratio1 | 2.23 | 4.99 | 3.67 | 4.77 | 4.60 | |
| Benchmarks | ||||||
| Current Ratio, Competitors2 | ||||||
| AbbVie Inc. | — | — | — | — | — | |
| Amgen Inc. | — | — | — | — | — | |
| Bristol-Myers Squibb Co. | — | — | — | — | — | |
| Danaher Corp. | — | — | — | — | — | |
| Eli Lilly & Co. | — | — | — | — | — | |
| Gilead Sciences Inc. | — | — | — | — | — | |
| Johnson & Johnson | — | — | — | — | — | |
| Merck & Co. Inc. | — | — | — | — | — | |
| Moderna Inc. | — | — | — | — | — | |
| Pfizer Inc. | — | — | — | — | — | |
| Regeneron Pharmaceuticals Inc. | — | — | — | — | — | |
| Thermo Fisher Scientific Inc. | — | — | — | — | — | |
Based on: 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), 10-K (reporting date: 2014-12-31).
1 2018 Calculation
Current ratio = Current assets ÷ Current liabilities
= 9,067 ÷ 4,057 = 2.23
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. | Celgene Corp. current ratio improved from 2016 to 2017 but then deteriorated significantly from 2017 to 2018. |
Quick Ratio
Celgene Corp., quick ratio calculation, comparison to benchmarks
| Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cash and cash equivalents | 4,234) | 7,013) | 6,170) | 4,880) | 4,122) | |
| Debt securities available-for-sale | 496) | 3,219) | —) | —) | —) | |
| Equity investments with readily determinable fair values | 1,312) | 1,810) | —) | —) | —) | |
| Marketable securities available-for-sale | —) | —) | 1,800) | 1,672) | 3,425) | |
| Accounts receivable, net of allowances | 2,066) | 1,921) | 1,621) | 1,421) | 1,167) | |
| Total quick assets | 8,108) | 13,963) | 9,590) | 7,973) | 8,713) | |
| Current liabilities | 4,057) | 2,987) | 2,959) | 1,969) | 2,112) | |
| Liquidity Ratio | ||||||
| Quick ratio1 | 2.00 | 4.67 | 3.24 | 4.05 | 4.13 | |
| Benchmarks | ||||||
| Quick Ratio, Competitors2 | ||||||
| AbbVie Inc. | — | — | — | — | — | |
| Amgen Inc. | — | — | — | — | — | |
| Bristol-Myers Squibb Co. | — | — | — | — | — | |
| Danaher Corp. | — | — | — | — | — | |
| Eli Lilly & Co. | — | — | — | — | — | |
| Gilead Sciences Inc. | — | — | — | — | — | |
| Johnson & Johnson | — | — | — | — | — | |
| Merck & Co. Inc. | — | — | — | — | — | |
| Moderna Inc. | — | — | — | — | — | |
| Pfizer Inc. | — | — | — | — | — | |
| Regeneron Pharmaceuticals Inc. | — | — | — | — | — | |
| Thermo Fisher Scientific Inc. | — | — | — | — | — | |
Based on: 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), 10-K (reporting date: 2014-12-31).
1 2018 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 8,108 ÷ 4,057 = 2.00
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. | Celgene Corp. quick ratio improved from 2016 to 2017 but then deteriorated significantly from 2017 to 2018. |
Cash Ratio
Celgene Corp., cash ratio calculation, comparison to benchmarks
| Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cash and cash equivalents | 4,234) | 7,013) | 6,170) | 4,880) | 4,122) | |
| Debt securities available-for-sale | 496) | 3,219) | —) | —) | —) | |
| Equity investments with readily determinable fair values | 1,312) | 1,810) | —) | —) | —) | |
| Marketable securities available-for-sale | —) | —) | 1,800) | 1,672) | 3,425) | |
| Total cash assets | 6,042) | 12,042) | 7,970) | 6,552) | 7,547) | |
| Current liabilities | 4,057) | 2,987) | 2,959) | 1,969) | 2,112) | |
| Liquidity Ratio | ||||||
| Cash ratio1 | 1.49 | 4.03 | 2.69 | 3.33 | 3.57 | |
| Benchmarks | ||||||
| Cash Ratio, Competitors2 | ||||||
| AbbVie Inc. | — | — | — | — | — | |
| Amgen Inc. | — | — | — | — | — | |
| Bristol-Myers Squibb Co. | — | — | — | — | — | |
| Danaher Corp. | — | — | — | — | — | |
| Eli Lilly & Co. | — | — | — | — | — | |
| Gilead Sciences Inc. | — | — | — | — | — | |
| Johnson & Johnson | — | — | — | — | — | |
| Merck & Co. Inc. | — | — | — | — | — | |
| Moderna Inc. | — | — | — | — | — | |
| Pfizer Inc. | — | — | — | — | — | |
| Regeneron Pharmaceuticals Inc. | — | — | — | — | — | |
| Thermo Fisher Scientific Inc. | — | — | — | — | — | |
Based on: 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), 10-K (reporting date: 2014-12-31).
1 2018 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 6,042 ÷ 4,057 = 1.49
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. | Celgene Corp. cash ratio improved from 2016 to 2017 but then deteriorated significantly from 2017 to 2018. |