Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
O’Reilly Automotive Inc., liquidity ratios
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Current ratio | 0.77 | 0.86 | 0.86 | 0.91 | 0.93 | |
| Quick ratio | 0.13 | 0.15 | 0.07 | 0.08 | 0.09 | |
| Cash ratio | 0.06 | 0.09 | 0.01 | 0.01 | 0.01 |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | O’Reilly Automotive Inc. current ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | O’Reilly Automotive Inc. quick ratio improved from 2019 to 2020 but then slightly deteriorated from 2020 to 2021. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | O’Reilly Automotive Inc. cash ratio improved from 2019 to 2020 but then slightly deteriorated from 2020 to 2021. |
Current Ratio
O’Reilly Automotive Inc., current ratio calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Current assets | 4,504,262) | 4,499,787) | 3,833,662) | 3,543,102) | 3,397,672) | |
| Current liabilities | 5,874,615) | 5,262,417) | 4,469,427) | 3,894,020) | 3,647,366) | |
| Liquidity Ratio | ||||||
| Current ratio1 | 0.77 | 0.86 | 0.86 | 0.91 | 0.93 | |
| Benchmarks | ||||||
| Current Ratio, Competitors2 | ||||||
| Amazon.com Inc. | 1.14 | 1.05 | 1.10 | — | — | |
| Home Depot Inc. | 1.23 | 1.08 | 1.11 | — | — | |
| Lowe’s Cos. Inc. | 1.19 | 1.01 | 0.98 | — | — | |
| TJX Cos. Inc. | 1.46 | 1.24 | 1.53 | — | — | |
| Current Ratio, Sector | ||||||
| Consumer Discretionary Distribution & Retail | 1.17 | 1.06 | 1.10 | — | — | |
| Current Ratio, Industry | ||||||
| Consumer Discretionary | 1.25 | 1.18 | 1.10 | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Current ratio = Current assets ÷ Current liabilities
= 4,504,262 ÷ 5,874,615 = 0.77
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. | O’Reilly Automotive Inc. current ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
Quick Ratio
O’Reilly Automotive Inc., quick ratio calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Cash and cash equivalents | 362,113) | 465,640) | 40,406) | 31,315) | 46,348) | |
| Accounts receivable, less allowance for doubtful accounts | 272,562) | 229,679) | 214,915) | 192,026) | 216,251) | |
| Amounts receivable from suppliers | 113,112) | 100,615) | 79,492) | 78,155) | 76,236) | |
| Total quick assets | 747,787) | 795,934) | 334,813) | 301,496) | 338,835) | |
| Current liabilities | 5,874,615) | 5,262,417) | 4,469,427) | 3,894,020) | 3,647,366) | |
| Liquidity Ratio | ||||||
| Quick ratio1 | 0.13 | 0.15 | 0.07 | 0.08 | 0.09 | |
| Benchmarks | ||||||
| Quick Ratio, Competitors2 | ||||||
| Amazon.com Inc. | 0.86 | 0.83 | 0.83 | — | — | |
| Home Depot Inc. | 0.47 | 0.23 | 0.22 | — | — | |
| Lowe’s Cos. Inc. | 0.28 | 0.06 | 0.05 | — | — | |
| TJX Cos. Inc. | 1.01 | 0.50 | 0.61 | — | — | |
| Quick Ratio, Sector | ||||||
| Consumer Discretionary Distribution & Retail | 0.77 | 0.68 | 0.65 | — | — | |
| Quick Ratio, Industry | ||||||
| Consumer Discretionary | 0.92 | 0.88 | 0.79 | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 747,787 ÷ 5,874,615 = 0.13
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. | O’Reilly Automotive Inc. quick ratio improved from 2019 to 2020 but then slightly deteriorated from 2020 to 2021. |
Cash Ratio
O’Reilly Automotive Inc., cash ratio calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Cash and cash equivalents | 362,113) | 465,640) | 40,406) | 31,315) | 46,348) | |
| Total cash assets | 362,113) | 465,640) | 40,406) | 31,315) | 46,348) | |
| Current liabilities | 5,874,615) | 5,262,417) | 4,469,427) | 3,894,020) | 3,647,366) | |
| Liquidity Ratio | ||||||
| Cash ratio1 | 0.06 | 0.09 | 0.01 | 0.01 | 0.01 | |
| Benchmarks | ||||||
| Cash Ratio, Competitors2 | ||||||
| Amazon.com Inc. | 0.68 | 0.67 | 0.63 | — | — | |
| Home Depot Inc. | 0.34 | 0.12 | 0.11 | — | — | |
| Lowe’s Cos. Inc. | 0.28 | 0.06 | 0.05 | — | — | |
| TJX Cos. Inc. | 0.97 | 0.45 | 0.55 | — | — | |
| Cash Ratio, Sector | ||||||
| Consumer Discretionary Distribution & Retail | 0.61 | 0.54 | 0.49 | — | — | |
| Cash Ratio, Industry | ||||||
| Consumer Discretionary | 0.71 | 0.69 | 0.57 | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 362,113 ÷ 5,874,615 = 0.06
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. | O’Reilly Automotive Inc. cash ratio improved from 2019 to 2020 but then slightly deteriorated from 2020 to 2021. |