Albemarle Corp (ALB)

Current ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Total current assets	US$ in thousands	3,842,260	5,216,920	5,186,920	1,993,680	2,206,180
Total current liabilities	US$ in thousands	1,966,460	3,560,460	2,741,020	1,874,340	1,801,850
Current ratio		1.95	1.47	1.89	1.06	1.22

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $3,842,260K ÷ $1,966,460K
= 1.95

The current ratio of Albemarle Corp has shown fluctuations over the past five years. As of December 31, 2020, the current ratio was 1.22, indicating that the company had $1.22 in current assets for every $1 in current liabilities. By December 31, 2021, the current ratio decreased to 1.06, suggesting a potential strain on the company's short-term liquidity position.

However, by December 31, 2022, the current ratio improved significantly to 1.89, signaling a healthier liquidity position with almost twice as many current assets as current liabilities. The ratio slightly decreased to 1.47 by December 31, 2023, but still indicated a stable liquidity position for the company.

The most recent data as of December 31, 2024, shows a current ratio of 1.95, which demonstrates that Albemarle Corp has strengthened its liquidity position, having almost twice the current assets compared to current liabilities.

Overall, the trend in Albemarle Corp's current ratio indicates fluctuations in short-term liquidity levels over the analyzed period, with the company taking steps to improve its liquidity position in recent years. It is essential for stakeholders to monitor these ratios to assess the company's ability to meet its short-term obligations.