Asbury Automotive Group Inc (ABG)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 3,137,900 | 3,057,100 | 1,909,800 | 1,929,400 | 1,405,700 |
| Total current liabilities | US$ in thousands | 2,836,300 | 2,875,700 | 1,033,400 | 1,598,000 | 1,223,400 |
| Current ratio | 1.11 | 1.06 | 1.85 | 1.21 | 1.15 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $3,137,900K ÷ $2,836,300K
= 1.11
Asbury Automotive Group Inc's current ratio has shown fluctuations over the past five years.
At December 31, 2020, the company had a current ratio of 1.15. This indicates that Asbury Automotive Group Inc had $1.15 in current assets for every $1 in current liabilities, suggesting a relatively healthy liquidity position.
By December 31, 2021, the current ratio had improved to 1.21, indicating a further strengthening of the company's ability to meet its short-term obligations.
The ratio saw a significant increase to 1.85 by December 31, 2022, reflecting a substantial increase in current assets compared to current liabilities, which could suggest improved liquidity and financial stability.
However, by December 31, 2023, the current ratio decreased to 1.06, which might indicate a potential strain on the company's short-term liquidity and ability to cover its immediate obligations.
Lastly, as of December 31, 2024, the current ratio increased slightly to 1.11, but it still remains relatively close to the industry benchmark of 1.5, indicating that Asbury Automotive Group Inc may need to further monitor and manage its liquidity position.
Overall, while the current ratio has shown some volatility, Asbury Automotive Group Inc generally maintained a reasonable ability to cover its short-term liabilities with current assets over the past five years.
Peer comparison
Dec 31, 2024