Ametek Inc (AME)

Current ratio

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Total current assets	US$ in thousands	2,603,030	2,733,690	2,767,240	2,775,500	2,824,670	3,118,700	2,899,560	2,665,940	2,528,060	2,432,570	2,411,610	2,272,820	2,128,760	2,061,820	2,042,080	2,573,490	2,522,470	2,643,020	2,517,140	2,774,490
Total current liabilities	US$ in thousands	2,098,590	1,966,920	2,203,050	2,502,510	2,882,570	1,673,720	1,341,190	1,452,670	1,564,200	1,591,380	1,633,030	1,590,740	1,563,310	1,633,830	1,857,630	1,138,460	1,075,920	1,403,490	1,017,450	1,477,670
Current ratio		1.24	1.39	1.26	1.11	0.98	1.86	2.16	1.84	1.62	1.53	1.48	1.43	1.36	1.26	1.10	2.26	2.34	1.88	2.47	1.88

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $2,603,030K ÷ $2,098,590K
= 1.24

Ametek Inc's current ratio, which represents the company's ability to meet its short-term obligations with its current assets, has shown some fluctuations over the reported periods. The data indicates that the current ratio increased from March 2020 to June 2020, indicating a stronger short-term liquidity position. Subsequently, there was a slight decrease in the ratio by September 2020, but it continued to improve and reached a peak in June 2021 at 2.47, signaling a strong ability to cover short-term liabilities.

However, starting from September 2021, the current ratio declined steadily until December 2023, where it fell to 0.98, which may raise concerns about the company's liquidity position and its ability to meet short-term obligations. It's worth noting that a current ratio below 1 may suggest that the company may have difficulty meeting its short-term debts with its current assets alone.

There was a modest recovery in the current ratio from March 2024 to December 2024, potentially indicating some improvement in the company's liquidity position, but it remained below the levels seen in earlier periods. Overall, monitoring Ametek Inc's current ratio trends will be essential for evaluating its short-term liquidity and financial health moving forward.