Analog Devices Inc (ADI)

Current ratio

		Feb 3, 2024	Oct 28, 2023	Jul 29, 2023	Apr 29, 2023	Jan 28, 2023	Oct 29, 2022	Jul 30, 2022	Apr 30, 2022	Jan 29, 2022	Oct 30, 2021	Jul 31, 2021	May 1, 2021	Jan 30, 2021	Oct 31, 2020	Aug 1, 2020	May 2, 2020	Feb 1, 2020	Nov 2, 2019	Aug 3, 2019	May 4, 2019
Total current assets	US$ in thousands	4,415,880	4,384,020	4,835,180	4,744,920	5,161,500	4,937,990	4,689,710	4,634,190	4,636,700	5,378,320	3,090,460	2,902,800	2,624,740	2,517,690	2,485,240	2,051,290	1,911,180	1,985,130	2,007,060	2,080,490
Total current liabilities	US$ in thousands	2,923,370	3,200,970	2,831,020	2,646,410	2,433,680	2,442,660	2,441,200	2,326,210	2,221,910	2,770,310	2,793,340	2,776,830	1,676,760	1,364,990	1,687,780	1,582,000	1,770,540	1,508,630	1,483,680	1,365,040
Current ratio		1.51	1.37	1.71	1.79	2.12	2.02	1.92	1.99	2.09	1.94	1.11	1.05	1.57	1.84	1.47	1.30	1.08	1.32	1.35	1.52

February 3, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $4,415,880K ÷ $2,923,370K
= 1.51

The current ratio of Analog Devices Inc. has shown some fluctuations over the past eight quarters.

In Q1 2024, the current ratio stood at 1.51, which indicates that the company had $1.51 in current assets for every $1 in current liabilities. This suggests that the company may have had a slightly lower liquidity position compared to the previous quarter, Q4 2023, when the ratio was 1.37.

Looking further back, in Q3 2023, the current ratio was 1.71, showing a higher liquidity position than in the most recent quarter. The trend continues with a current ratio of 1.79 in Q2 2023 and 2.12 in Q1 2023, indicating improving liquidity over these quarters.

However, there was a notable decline in liquidity starting from Q4 2022, where the current ratio was 2.02, followed by 1.92 in Q3 2022 and 1.99 in Q2 2022. Despite these fluctuations, the company generally maintained a current ratio above 1 throughout the period, suggesting a satisfactory ability to meet short-term obligations with current assets.

Overall, the current ratio trend of Analog Devices Inc. reflects some variability in liquidity levels over the past two years, but the company has managed to maintain a reasonable liquidity position on average, providing some assurance regarding its short-term solvency.