Align Technology Inc (ALGN)

Current ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Total current assets	US$ in thousands	2,492,440	2,446,620	2,424,390	2,494,080	1,849,540
Total current liabilities	US$ in thousands	2,038,030	2,066,610	1,925,890	1,924,070	1,325,600
Current ratio		1.22	1.18	1.26	1.30	1.40

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $2,492,440K ÷ $2,038,030K
= 1.22

The current ratio of Align Technology Inc has shown a slight decline over the past five years, decreasing from 1.40 in December 31, 2020, to 1.22 in December 31, 2024. While the ratio remains above 1, indicating that the company's current assets still exceed its current liabilities, the downward trend suggests potential liquidity challenges or a less effective management of short-term financial obligations. Investors and stakeholders may want to monitor this trend closely to assess Align Technology Inc's ability to meet its short-term liabilities in the future.