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Valero Energy (BSP:VLOE34) Quick Ratio : 1.11 (As of Sep. 2024)


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What is Valero Energy Quick Ratio?

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. It is calculated as a company's Total Current Assets excludes Total Inventories divides by its Total Current Liabilities. Valero Energy's quick ratio for the quarter that ended in Sep. 2024 was 1.11.

Valero Energy has a quick ratio of 1.11. It generally indicates good short-term financial strength.

The historical rank and industry rank for Valero Energy's Quick Ratio or its related term are showing as below:

BSP:VLOE34' s Quick Ratio Range Over the Past 10 Years
Min: 0.82   Med: 1.07   Max: 1.33
Current: 1.11

During the past 13 years, Valero Energy's highest Quick Ratio was 1.33. The lowest was 0.82. And the median was 1.07.

BSP:VLOE34's Quick Ratio is ranked better than
50.29% of 1048 companies
in the Oil & Gas industry
Industry Median: 1.11 vs BSP:VLOE34: 1.11

Valero Energy Quick Ratio Historical Data

The historical data trend for Valero Energy's Quick Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Valero Energy Quick Ratio Chart

Valero Energy Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Quick Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.91 1.06 0.88 1.00 1.11

Valero Energy Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Quick Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.08 1.11 1.10 1.04 1.11

Competitive Comparison of Valero Energy's Quick Ratio

For the Oil & Gas Refining & Marketing subindustry, Valero Energy's Quick Ratio, along with its competitors' market caps and Quick Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Valero Energy's Quick Ratio Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Valero Energy's Quick Ratio distribution charts can be found below:

* The bar in red indicates where Valero Energy's Quick Ratio falls into.



Valero Energy Quick Ratio Calculation

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.

Valero Energy's Quick Ratio for the fiscal year that ended in Dec. 2023 is calculated as

Quick Ratio (A: Dec. 2023 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(128477.656-37155.183)/82326.44
=1.11

Valero Energy's Quick Ratio for the quarter that ended in Sep. 2024 is calculated as

Quick Ratio (Q: Sep. 2024 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(132774.293-39030.414)/84717.264
=1.11

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Valero Energy  (BSP:VLOE34) Quick Ratio Explanation

The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.

In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.

The higher the quick ratio, the better the company's liquidity position.


Valero Energy Quick Ratio Related Terms

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Valero Energy Business Description

Address
One Valero Way, San Antonio, TX, USA, 78249
Valero Energy is one of the largest independent refiners in the United States. It operates 15 refineries, with a total throughput capacity of 3.2 million barrels a day in the US, Canada, and the United Kingdom. Valero also owns 12 ethanol plants with capacity of 1.6 billion gallons a year and holds a 50% stake in Diamond Green Diesel, which has the capacity to produce 1.2 billion gallons per year of renewable diesel.

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