Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Becton, Dickinson & Co., liquidity ratios
Based on: 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Becton, Dickinson & Co. current ratio improved from 2019 to 2020 but then slightly deteriorated from 2020 to 2021 not reaching 2019 level. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Becton, Dickinson & Co. 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. | Becton, Dickinson & Co. cash ratio improved from 2019 to 2020 but then slightly deteriorated from 2020 to 2021. |
Current Ratio
Becton, Dickinson & Co., current ratio calculation, comparison to benchmarks
| Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Current assets | 8,838) | 8,969) | 6,664) | 7,411) | 18,633) | 6,367) | |
| Current liabilities | 6,626) | 5,836) | 5,655) | 7,216) | 3,342) | 4,400) | |
| Liquidity Ratio | |||||||
| Current ratio1 | 1.33 | 1.54 | 1.18 | 1.03 | 5.58 | 1.45 | |
| Benchmarks | |||||||
| Current Ratio, Competitors2 | |||||||
| Abbott Laboratories | 1.85 | 1.72 | 1.44 | — | — | — | |
| Cigna Group | 0.83 | 0.77 | 0.74 | — | — | — | |
| CVS Health Corp. | 0.88 | 0.91 | 0.94 | — | — | — | |
| Elevance Health Inc. | 1.47 | 1.55 | 1.65 | — | — | — | |
| Intuitive Surgical Inc. | 5.08 | 6.86 | 4.53 | — | — | — | |
| Medtronic PLC | 2.65 | 2.13 | 2.59 | — | — | — | |
| UnitedHealth Group Inc. | 0.79 | 0.74 | 0.69 | — | — | — | |
| Current Ratio, Sector | |||||||
| Health Care Equipment & Services | 1.06 | 1.04 | — | — | — | — | |
| Current Ratio, Industry | |||||||
| Health Care | 1.21 | 1.20 | — | — | — | — | |
Based on: 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30).
1 2021 Calculation
Current ratio = Current assets ÷ Current liabilities
= 8,838 ÷ 6,626 = 1.33
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. | Becton, Dickinson & Co. current ratio improved from 2019 to 2020 but then slightly deteriorated from 2020 to 2021 not reaching 2019 level. |
Quick Ratio
Becton, Dickinson & Co., quick ratio calculation, comparison to benchmarks
| Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Cash and equivalents | 2,283) | 2,825) | 536) | 1,140) | 14,179) | 1,541) | |
| Restricted cash | 109) | 92) | 54) | 96) | —) | —) | |
| Short-term investments | 12) | 20) | 30) | 17) | 21) | 27) | |
| Trade receivables, net | 2,497) | 2,398) | 2,345) | 2,319) | 1,744) | 1,618) | |
| Total quick assets | 4,901) | 5,335) | 2,965) | 3,572) | 15,944) | 3,186) | |
| Current liabilities | 6,626) | 5,836) | 5,655) | 7,216) | 3,342) | 4,400) | |
| Liquidity Ratio | |||||||
| Quick ratio1 | 0.74 | 0.91 | 0.52 | 0.50 | 4.77 | 0.72 | |
| Benchmarks | |||||||
| Quick Ratio, Competitors2 | |||||||
| Abbott Laboratories | 1.28 | 1.14 | 0.88 | — | — | — | |
| Cigna Group | 0.48 | 0.66 | 0.41 | — | — | — | |
| CVS Health Corp. | 0.55 | 0.53 | 0.52 | — | — | — | |
| Elevance Health Inc. | 1.33 | 1.42 | 1.52 | — | — | — | |
| Intuitive Surgical Inc. | 4.34 | 5.96 | 3.75 | — | — | — | |
| Medtronic PLC | 1.91 | 1.50 | 1.90 | — | — | — | |
| UnitedHealth Group Inc. | 0.72 | 0.68 | 0.63 | — | — | — | |
| Quick Ratio, Sector | |||||||
| Health Care Equipment & Services | 0.80 | 0.82 | — | — | — | — | |
| Quick Ratio, Industry | |||||||
| Health Care | 0.89 | 0.89 | — | — | — | — | |
Based on: 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30).
1 2021 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 4,901 ÷ 6,626 = 0.74
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. | Becton, Dickinson & Co. quick ratio improved from 2019 to 2020 but then slightly deteriorated from 2020 to 2021. |
Cash Ratio
Becton, Dickinson & Co., cash ratio calculation, comparison to benchmarks
| Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Cash and equivalents | 2,283) | 2,825) | 536) | 1,140) | 14,179) | 1,541) | |
| Restricted cash | 109) | 92) | 54) | 96) | —) | —) | |
| Short-term investments | 12) | 20) | 30) | 17) | 21) | 27) | |
| Total cash assets | 2,404) | 2,937) | 620) | 1,253) | 14,200) | 1,568) | |
| Current liabilities | 6,626) | 5,836) | 5,655) | 7,216) | 3,342) | 4,400) | |
| Liquidity Ratio | |||||||
| Cash ratio1 | 0.36 | 0.50 | 0.11 | 0.17 | 4.25 | 0.36 | |
| Benchmarks | |||||||
| Cash Ratio, Competitors2 | |||||||
| Abbott Laboratories | 0.78 | 0.60 | 0.38 | — | — | — | |
| Cigna Group | 0.14 | 0.32 | 0.14 | — | — | — | |
| CVS Health Corp. | 0.18 | 0.18 | 0.15 | — | — | — | |
| Elevance Health Inc. | 0.95 | 1.04 | 1.08 | — | — | — | |
| Intuitive Surgical Inc. | 3.66 | 5.30 | 3.13 | — | — | — | |
| Medtronic PLC | 1.27 | 1.06 | 1.16 | — | — | — | |
| UnitedHealth Group Inc. | 0.36 | 0.33 | 0.28 | — | — | — | |
| Cash Ratio, Sector | |||||||
| Health Care Equipment & Services | 0.43 | 0.45 | — | — | — | — | |
| Cash Ratio, Industry | |||||||
| Health Care | 0.50 | 0.51 | — | — | — | — | |
Based on: 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30).
1 2021 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 2,404 ÷ 6,626 = 0.36
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. | Becton, Dickinson & Co. cash ratio improved from 2019 to 2020 but then slightly deteriorated from 2020 to 2021. |