Applied Materials Inc (AMAT)
Current ratio
| Oct 27, 2024 | Oct 29, 2023 | Oct 30, 2022 | Oct 31, 2021 | Oct 25, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 21,220,000 | 19,147,000 | 15,925,000 | 16,107,000 | 13,369,000 |
| Total current liabilities | US$ in thousands | 8,468,000 | 7,372,000 | 7,379,000 | 6,344,000 | 4,459,000 |
| Current ratio | 2.51 | 2.60 | 2.16 | 2.54 | 3.00 |
October 27, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $21,220,000K ÷ $8,468,000K
= 2.51
The current ratio of Applied Materials Inc has fluctuated over the past five years, ranging from 2.16 in October 2022 to 3.00 in October 2020. As of October 27, 2024, the current ratio stands at 2.51, indicating that the company has $2.51 in current assets to cover each dollar of current liabilities. This suggests that Applied Materials Inc has a relatively strong liquidity position, with a higher current ratio typically considered more favorable as it implies better short-term financial stability. However, it is essential to consider other factors alongside the current ratio to gain a comprehensive understanding of the company's overall financial health and liquidity management.
Peer comparison
Oct 27, 2024